Sumatra Sees 57 Percent Surge in Investment Realization: BKPM
26 July 2016 09:36 WIB
TEMPO.CO, Jakarta-The Investment Coordinating Board (BKPM) recorded that in the first quarter of 2016 investment realization in Sumatra has increased 57 percent (year-on-year) to Rp33 trillion. Whereas the highest growth in provincial level is topped by South Sumatra (385 percent), West Sumatra (177 percent), and Jambi (34 percent).
Last year, Sumatra’s investment realization reached Rp84 trillion, or increased by 19 percent and outperformed the national growth of 17.8 percent. The number of investment projects also hiked by 113 percent to 2,823 projects, absorbing 13 percent more local workers.
BKPM chairman Franky Sibarani said that to boost economy and create employment, his office will work closely with local governments across Sumatra to help them prepare for investment. According to him, there is a need for a paradigm shift for local government: from permit issuer to investment service provider.
BKPM noted that 120 investors will participate in the Regional Investment Forum (RIF) in Palembang, South Sumatra, Tuesday, July 26, 2016. Franky said that the RIF, that adopts the theme ‘Exploring Sumatra’s Potentials for Quality Investments’, is aimed at boosting investment in Sumatra, particularly South Sumatra. The island has a huge potential for investment in manufacturing and tourism.
“Sumatra has been developing Special Economic Zones (SEZs). In addition, its investment is underpinned by the availability of raw materials, energy sources, workforce, national and export markets, as well as strategic location near the shipping lane of Malacca Strait,” he noted in a press release Monday, July 25, 2016.
