Indonesia's Domestic Investment Rises to Rp 17.1 Trillion

Jakarta (Antara Bali) - The Coordinating Investment Board recorded the domestic investment value during the first semester of 2016 at Rp102.6 trillion, compared with that in the same period of 2015, amounting to Rp85.5 trillion.

"The domestic investment increased by 32.9 percent to 34.4 percent from the first semester of 2015 to the same period of 2016," the Deputy of Investment Implementation Control at the board, Azhar Lubis, said here Friday.

The domestic investment is mostly dominated by five sectors namely food industry; transport, storage and telecommunications; food crops and plantations; and nonmetallic minerals industry; in addition to basic chemical industry, chemical goods and pharmaceutical, according to him.

"Overall, the industry has contributed Rp50.7 trillion or 49.5 percent of the total domestic investment," Azhar noted.

Meanwhile, the foreign investment in the first semester of 2016 has reached Rp195.5 trillion.

The five main sectors of foreign investment are the paper industry, industrial goods from paper and printing; base metal industry, metal goods, machinery and electronics; basic chemical industry, chemical and pharmaceutical goods; and transport equipment industry and other transportation, in addition to the food industry.

The top five countries investing in Indonesia in the first half of 2016 are Singapore, Japan, Hong Kong, and China, apart from the Netherlands.

The development of domestic investment is important to show trust with foreign investors about the positive investment climate in Indonesia.

"The foreign investors will see first, whether or not the Indonesians develop investment in the country. If we do not invest, then the foreigners will not invest. The positive condition in the country will spread to the foreigners," he added.

The Coordinating Investment Board recorded the investment realization in the first semester of 2016 at Rp298.1 trillion.

This amount is 50.1 percent of the national investment realization target of Rp594.8 trillion, consisting of Rp102.6 trillion of domestic investment and Rp195.5 trillion of foreign investment. (WDY)