Update COVID-19 in Indonesia: 836,718 confirmed infections, 24,343 deaths (11 January 2021)
11 January 2021 (closed)
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Total foreign direct investment (FDI) in the ASEAN region (Association of Southeast Asian Nations) fell USD $10 billion - or 7.7 percent year-on-year (y/y) - in full-year 2015 according to information from the ASEAN Secretariat. Particularly FDI originating from ASEAN's dialogue partners slid considerably. ASEAN has 10 dialogue partners: Australia, Canada, China, the European Union (EU), India, Japan, New Zealand, South Korea, Russia, and the United States.
FDI from these ten dialogue partners declined USD $4.6 billion to USD $72.6 billion in full-year 2015, down 5.9 percent (y/y) from realization in the preceding year. This development is attributed to the weakish economic conditions that are found in several key dialogue partners. For example, investors from the USA, EU, and Australia invested less in the ASEAN region in 2015. However, FDI from India, China, Japan and New Zealand into ASEAN rose.
Regarding FDI flows among ASEAN member states, there was no real change. In 2014 a total of USD $22.13 billion worth of FDI circulated within the ASEAN region (intra-ASEAN direct investment). One year later it increased slightly to USD $22.15 billion. ASEAN consists of the five original nations Indonesia, Malaysia, the Philippines, Singapore, and Thailand that were later joined by Brunei Darussalam, Vietnam, Laos, Myanmar, and Cambodia.
In order to boost direct investment among ASEAN member nations, the organization launched the ASEAN Solutions for Investments, Services and Trade (abbreviated ASSIST) on 3 June 2016 at the 48th ASEAN Economic Ministers' Meeting and Related Meetings. The ASSIST platform is "a non-binding and consultative mechanism for the expedited and effective solution of operational problems encountered by ASEAN-based enterprises on cross-border issues related to the implementation of the ASEAN economic agreements and within the framework of the ASEAN Economic Community (AEC)".
Thomas Lembong, Head of the Indonesia Investment Coordinating Board (BKPM), said this ASSIST platform will smoothen intra-ASEAN investment as it becomes easier for investors to find information (for example requirements regarding investment in the ASEAN member states) and seek support when they meet obstacles during the investment process.
Foreign Direct Investment in ASEAN per Sector (2015):
(in USD million)
|Agriculture, Forestry & Fishing||4,831|
|Mining & Quarrying||7,253|
|Electricity, Gas, Steam & Air Conditioning Supply||1,982|
|Water Supply; Sewerage, Waste Management & Remediation Activities||-30|
|Wholesale & Retail Trade; Repair of Motor Vehicles & Motor Cycles||11,188|
|Transportation & Storage||3,281|
|Accommodation & Food Service Activities||471|
|Information & Communication||1,825|
|Financial & Insurance Activities||39,322|
|Real Estate Activities||9,207|
|Professional, Scientific & Technical Activities||247|
|Administrative & Support Service Activities||261|
|Public Administration & Defense; Compulsory Social Security||0|
|Human Health & Social Work Activities||134|
|Arts, Entertainment & Recreation||-14|
|Other Services Activities||6,071|
Source: ASEAN Stats