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Elections Correct Foreign Inflow

Translator

Ririe Ranggasari

Editor

Laila Afifa

2 May 2019 11:15 WIB

TEMPO.CO, Jakarta - The Investment Coordinating Board (BKPM) recorded that investments grew 5.3 percent in Q1/2019 to Rp195.1 trillion. The investment growth is attributable to an increase in domestic capital.

Meanwhile, foreign investment was corrected by 0.9 percent in the quarter. 

BKPM chief Thomas Lembong said that capital inflows slowed due to several factors—one of them was the presidential and legislative elections in April. Investors, he said, hesitated and waited before investing out of concerns for possible political turbulence.

"Foreign investments were only done by Indonesian companies with foreign ownership," Thomas said on Tuesday, April 30. 

Another reason for slowing capital inflows, Thomas said, was the currency exchange rate.

Meanwhile, domestic investments rose from Rp76.4 trillion in Q1/2018 to Rp86.9 trillion. 

ANDI IBNU

Read: Successful Elections; Indef Projects Foreign Investment Influx

Electionforeign investmentInvestment


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