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Investment will grow double digits: BKPM Chief

Rabu 31 Jul 2019 06:52 WIB

Red: Ani Nursalikah

Chief of the Indonesian Investment Coordinating Board (BKPM) Thomas Lembong.

Chief of the Indonesian Investment Coordinating Board (BKPM) Thomas Lembong.

Foto: Republika
BKPM has set the target of realized investment for 2019 at Rp 792.3 trillion.

REPUBLIKA.CO.ID, JAKARTA -- The realization of investment in the country will grow double digits owing to the recovery in investment trends, Chief of the Indonesian Investment Coordinating Board (BKPM) Thomas Lembong has stated.

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"About the full year 2019, I am relatively conservative. I think it will grow by low double digits," he said in Jakarta, Tuesday.

The recovery in investment trends began in 2018 and continued until the second quarter of 2019, he noted. The optimism about de-escalation of the US-China trade war tensions and post-presidential election domestic political cycle will support the recovery in investment trends, he believed.

"Once again, investors have very high enthusiasm, particularly after President Jokowi gave an interview to several international media and delivered his (national) address at Sentul (International Convention Center/SICC)," he said.

The president's national address at SICC revealed the policies his government would be implementing during his second term in office. It had received a positive response from investors as could be seen from the numerous requests to hold meetings with the president-elect, he said.

"We have done our best to respond to the wave of post-election (investment) interests," he said.

BKPM has set the target of realized investment for 2019 at Rp 792.3 trillion. The board announced earlier in the day the realization of investment in the first semester of 2019 has reached Rp 395.6 trillion, accounting for 49.9 percent of the target.

The investment comprised domestic investment worth Rp 182.8 trillion and foreign investment worth Rp 212.8 trillion. The investment created a total of 490,715 jobs.

The top five sectors where one could see investments are transportation, warehousing and telecommunication; electricity, gas and water; construction; food industry; and housing, industrial zone as well as office space. Five major foreign investors are Singapore, with investments worth 3.4 billion US dollar, Japan (2.4 billion US dollar), China (2.3 billion US dollar), Hong Kong (1.3 billion US dollar), and Malaysia (1 billion US dollar).

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