PSAK 73 / PSAK 116: Complete Guide to IFRS 16 Lease Accounting in Indonesia
Understanding Indonesia's lease accounting standard
PSAK 73 is Indonesia's financial accounting standard that governs the accounting treatment for leases. This standard is an adoption of IFRS 16 (International Financial Reporting Standards 16) issued by the IASB, effective in Indonesia since January 1, 2020. Note: PSAK 73 has been renumbered to PSAK 116 under the 2024 DSAK IAI standard renumbering — both refer to the same lease accounting standard.
What is PSAK 73 / PSAK 116?
PSAK 73 (now PSAK 116) requires lessees to recognize almost all leases on the balance sheet as right-of-use assets and lease liabilities. It replaces the previous PSAK 30 which distinguished between finance and operating leases.
PSAK 73 Renumbered to PSAK 116
Under the 2024 DSAK IAI standard renumbering, PSAK 73 on Leases has been renumbered to PSAK 116. The substance of the standard remains the same — both PSAK 73 and PSAK 116 refer to Indonesia's adoption of IFRS 16.
Relationship with IFRS 16
PSAK 73 / PSAK 116 is a full convergence with IFRS 16 issued by the IASB. Companies already compliant with IFRS 16 generally meet PSAK 73 / PSAK 116 requirements.
Impact on Indonesian Companies
PSAK 73 / PSAK 116 implementation significantly impacts Indonesian companies' balance sheets, especially those with many lease contracts such as retail, banking, insurance, and manufacturing companies.
BIS73: Software Solution for PSAK 73 / PSAK 116 Compliance
Nextera Digital provides BIS73, an automated lease accounting platform supporting full PSAK 73 / PSAK 116 / IFRS 16 compliance. BIS73 handles lease calculations, governance workflows, and provides complete calculation traceability.