BKPM : Investment Realization in the First Quarter of 2020 Strengthen by 8,0% to Rp 210.7 Trillion

BKPM : Investment Realization in the First Quarter of 2020 Strengthen by 8,0% to Rp 210.7 Trillion image
Indonesia Investment Coordinating Board (BKPM) announces the first quarter (January-March) of investment realization data in 2020 reached Rp 210.7 trillion or equivalent to 8.0% increase compared to the same period in 2019, Rp 195.1 trillion. This significant value was triggered by Domestic Direct Investment (DDI) which increased by 29.3%.
While the first quarter is quite challenging due to covid-19 outbreak, the realization is still on track, event 8% higher than first quarter of last year according to Bahlil the Chairman of BKPM. Within the first quarter of 2020, investment (DDI and FDI) realization in outside Java increased significantly by 19.3 %, reached Rp 102.4 trillion compared to the same period in 2019, reached Rp 85.8 trillion. At the same time, investment realization in Java slightly decreased from Rp. 109.3 trillion in 2019 to be Rp. 108.3 trillion in 2020.
Furthermore, the total domestic labor absorption in this quarter reached 303,085. It means higher than first quarter 2019 of 235.401. "Certainly, this is a good sign, where more labor absorbed this year. We have been asking commitment of companies not to have layoff within the Covid-19 pandemic. This is important to stabilize the Indonesia’s current economy," Bahlil said.
Investment Realization of First Quarter 2020

BKPM also notes that investment realization (DDI & FDI) based on project locations (top 5) are : East Java (Rp. 31.4 trillion, 14.9%); West Java (Rp. 29.9 trillion, 14.2%); Special Territory of Jakarta (Rp. 20.1 trillion, 9.6%); Central Java (Rp. 19.3 trillion, 9.1%); and Riau (Rp. 12.8 trillion, 6.0%).

Foreign and Domestic investment realization in this quarter was dominated by sector of Transportation, Warehouse, and Telecommunication (Rp 49.3 trillion, 23.4%); Basic Metal, Metal Based Goods, Non-Machinery and Equipment Industry (Rp 24.5 trillion, 11.6%); Electricity, Gas, and Water Supply (Rp 18.0 trillion, 8.6%); Housing, Industrial Estate, and Office Building (Rp 17.8 trillion, 8.4%); and Food Crops, Plantation, and Livestock (Rp 17.2 trillion, 8.2%) The top five leading countries whose largest FDI are : Singapore (US$ 2.7 billion, 40.0%); China (US$ 1.3 billion, 18.9%); Hong Kong (US$ 0.6 billion, 9.3%); Japan (US$ 0.6 billion, 8.9%) and Malaysia (US$ 0.5 billion, 7.1%).

Through the implementation of “Large Investment Project Execution” program, BKPM remains committed to oversee the investment projects, from getting permit until solving problems in the field, such as land acquisition. “Together with other Ministries/Institutions, we keep continue to facilitate obstacles faced by companies, especially in the midst of the Covid-19 pandemic. "This is not an easy thing to do, but we are optimistic this outbreak will end soon and the economy will rebound," Bahlil stressed.

This article is originally published by https://www.bkpm.go.id , Real Estate Investment Indonesia is an Event and is not affiliated nor owned the content, you can see the full article here