MRO Magazine

Indonesia Investment Promotion Center Announces Indonesia’s Investment Growth Has Increased 16.7% from January to September 2015


December 14, 2015
By Business Wire News

NEW YORK

Indonesia Investment Coordinating Board (BKPM) announced in October a Rp 400 trillion or US$ 28.6 billion investment realization for the period from January-September 2015 or 16.7 % increase from comparable period in 2014. Meanwhile, an increase of Rp 140.3 trillion or equal to US$ 10 billion investment was reported for Q3 2015. The data indicates continuing high investors’ confidence with the government under President Joko Widodo in the world’s fourth most populous nation of 245 million people.

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January – September 2015 Statistics:

  • Investment Realization in Indonesia – $28.6 billion (B).
  • Foreign Direct Investment (FDI) – $ 6.5 billion up 18.1 % from comparable period in 2014.
  • Domestic Direct Investment (DDI) – $ 3.4 billion, up 14.9% from comparable period in 2014.
  • Singapore remains top FDI contribution with 1,990 projects valued at US$ 3.5 B while the US is in the sixth with 169 projects valued at US$ 853 M.
  • Labor absorption gained 1,059,734 people (665,929 FDI; 393,805 DDI).

The Widodo administration is committed to push structural reforms and to prioritize sustainable infrastructure development by expanding inter-island connectivity.

“The good performance during the first nine months of 2015 indicates that the investment growth of 17% provides optimism that this year’s target of 15% will not only be achieved, but also reach the 2015 target of 15-18%.” stated Chairman of Indonesia Investment Coordinating Board, Franky Sibarani.

The positive investment realization achievement from January to September 2015 created optimism in Indonesia’s future investment prospect. Additionally, the government has issued various policy packages that increase investors’ convenience. BKPM has also started the 3-hour-investment license service together with the 3-hour-land booking service in October this year.

January – September 2015 Sectors and Locations

1.DDI realization based on five leading sectors:

  • Food Industry (Rp 18.1 T);
  • Electricity, Gas and Water Supply (Rp 17.4 T);
  • Transportation, Warehouse, and Telecommunication (Rp 17.3 T);
  • Chemical and Pharmaceutical Industry (Rp 16 T);
  • Non Metallic Mineral Industry (Rp 11.9 T);

2.FDI realization based on five leading sectors:

  • Mining (US$ 3.1 B);
  • Transportation, Warehouse and Telecommunication (US$ 2.8 B);
  • Metal, Machinery, and Electronic Industry (US$ 2.1 B);
  • Transport Equipment and Other Transport Industry (US$ 1.6 B); and
  • Electricity, Gas and Water Supply (US$ 1.6 B)

3.The highlight of the investment realization from January to September 2015 is the increasing proportion of investment outside Java Island. Projects distribution outside of Java Island reaches Rp 180.7 T (45.2%), a 43.6% increase from the same period last year.

Indonesia Investment Promotion Center (IIPC) is BKPM US Office. As a government institution, we are responsible for bringing your business to Indonesia as we bring ours abroad, namely to the North and Latin America. We organize one-on-one sessions, business forums, as well as, exhibitions to attract Indonesia’s investment opportunities and potentials. We assist in permit/license issuance, meeting facilitation with relevant stakeholders, site visitation, etc.

For more information:
Indonesia Investment Promotion Center (IIPC)
www.bkpm.go.id
370 Lexington Avenue Suite 1903
New York, NY 10017
T : +1 646 885 6600
F : +1 646 885 6601

— Invest in Remarkable Indonesia —

Indonesia Investment Promotion Center (IIPC)
Yos Harmen, +1 646-885-6600
Director
yos.harmen@bkpm.go.id
or
Elsa Noviliyanti, +1 646-885-6600
Deputy Director
enoviliyanti@bkpm.go.id