According to reporting from Jakarta Globe, Indonesia has attracted IDR 1,261.4 trillion (over USD 80 billion) in combined investments from both foreign and domestic investors so far this year as of September, the government announced Tuesday (15/10/24.)
Indonesia’s outgoing leader Jokowi wants to record IDR 1,650 trillion in overall investments in his last year in office, says Jakarta Globe, adding that the latest investment figures showed that Indonesia had already achieved almost 76.5 percent of the target In other words, it will be up to President-Elect Prabowo Subianto, who will take his oath of office this weekend, and his upcoming cabinet, to finish the rest.
“The investments that we recorded in January-September 2024 soared by almost 20 percent year-on-year [yoy]. So, I think we are on track to reach the IDR 1,650 trillion target by the end of the year,” Investment Minister Rosan Roeslani told the press in Jakarta.
Foreign direct investments (FDI) made up about 51.9 percent of the total investments in the said nine-month period, with Singapore retaining its status as Indonesia’s largest foreign investor with approximately USD 14.4 billion in January to September. Followed by Hong Kong (USD 6.1 billion), China (USD 5.8) billion), and the US (USD 2.8 billion). Malaysia put around USD 2.7 billion into Indonesia, making Kuala Lumpur the fifth-largest source of FDI.
“We are witnessing a 16.95 percent yoy increase in FDI,” Rosan said.
According to Rosan, non-Java provinces are gaining popularity among investors. About 50.34 percent of the total investments that the country posted so far in 2024 went to areas outside Java, says Jakarta Globe.
Central Sulawesi, home to the nickel-based industrial estate Indonesia Morowali Industrial Park (IMIP), became the most sought-after non-Java destination for foreign investors. The FDI that flowed to Central Sulawesi amounted to around USD 6.4 billion, just behind West Java (USD 7.5 billion).
Jakarta Globe reports that Domestic investors seem to favor Riau and East Kalimantan when it comes to investing outside Java. Local investors put around IDR 52.7 trillion in Riau from January to September. East Kalimantan, which hosts Indonesia’s new capital Nusantara, attracted nearly IDR 38.8 trillion over the same period.
Rosan is one of the ministerial candidates that Prabowo summoned for in-person interviews on Monday (14/10/24.) However, Prabowo will likely announce the full line-up of his cabinet after his inauguration on Sunday (20/10/24.)
Source: Jakarta Globe
Stock image by Pete Linforth from Pixabay
