Indonesia secures foreign investments amidst plan to streamline foreign capital entry
Published on 18/02/2025 GMT+7 Reading time 2 minutes
Rosan Roeslani, Minister of Investment and Downstream/Head of the Investment Coordinating Board (BKPM), Rosan P. Roeslani, said the government has secured investments worth billions of dollars that are planned to enter Indonesia in the first quarter of 2025.
He, however, did not disclose the exact amount, but cited that a large amount of the investment would come from the U.S.
"I said in the first quarter, we can close the deal, and the value is quite large, billions too. Most of them are from several companies, including companies from the U.S.," Rosan said on February 10, 2025.
In an effort to accelerate the entry of foreign capital, the investment ministry/BKPM plans to revise business entry. According to him, the current regulations are complicated and long, placing Indonesia at a score of 63 out of 100 points related to the quality of public services based on the Be Ready World Bank survey.
"For the permit, it takes approximately 65 days. In fact, it should only take 1-3 days. That is one of the things we will improve," he said.
The Prabowo Subianto-Gibran Rakabuming Raka administration has set an investment target of Rp13.032 trillion (US$801 million) in the 2025-2029 period of its administration. This is to support the achievement of economic growth of 8 percent by 2029.
"In 2025, investment is expected to reach Rp1,905 trillion," Rosan said in January.
He estimates that based on calculations by the National Development Planning Agency (Bappenas), in 2026 investment will reach Rp2,175 trillion, which will contribute to economic growth of 6.3 percent.
Meanwhile, in 2027, it is expected that investment will reach Rp2,567 trillion or drive economic growth to 7.5 percent.
"Our economic growth in 2028 will be 7.7 percent with an estimated investment of Rp2,969 trillion. And in 2029, it will be 8 percent according to the government's target with an expected investment of Rp3,414 trillion," Rosan cited.
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