TEMPO.CO, Jakarta - Head of the Investment Coordinating Board (BKPM) Franky Sibarani said that the results of the Brexit referendum stating that the UK is out of the European Union (Brexit) will not adversely affect the country's investment to Indonesia.
According to him, Britain’s investment is a direct and long-term investment.
"They certainly have done careful consideration even done research first. So, we do not have to worry about steps the UK took by leaving the EU because it will not affect their economic policies,” Franky said in a statement on Sunday (26/6).
Franky added with Brexit result, Indonesia can use it to attract investment from the UK.
"We are working on free trade agreement with the EU and the US, so the British company can make Indonesia its production base to enter the global market," he added.
Based on BKPM’s data, the UK is one of Indonesia’s major investment partners.
Britain is ranked the eight countries with the largest investments in Indonesia.
Throughout 2010-2015, the realization of UK investment reached US $ 4.8 billion.
In 2010-2015, the British investment value in Indonesia reached US $ 3.1 billion. In January-May 2016, the British investment value to Indonesia reached US $ 111 million. The figure grew 51.7 percent compared to the same period in 2015 ago.
The trade value between Indonesia and the UK reached US $ 2.35 billion in 2015.
ANGELINA ANJAR SAWITRI
