BKPM Optimistic about Q2-2014 Investment Realization in Indonesia
The Indonesia Investment Coordinating Board (BKPM), the investment service agency of the Indonesian government, is optimistic that investment realization in Indonesia (Southeast Asia’s largest economy) can surpass the level of IDR $100 trillion (USD $8.5 billion) in the second semester of 2014. Sectors that see increased investments in this quarter are the consumer goods and mining sectors. Total investments in Indonesia in the first quarter of 2014 reached IDR 106.6 trillion, an all-time record high quarterly investment realization.
BKPM official Azhar Lubis said that, if investment realization in the second quarter of 2014 will exceed IDR 100 trillion, then this year’s total target of IDR 456 trillion (USD $39 billion) is still within reach despite the negative impact of the ‘political year’ (political uncertainties inflicted by the legislative and presidential elections).
By the fourth week of July, the BKPM is expected to release the official foreign and domestic investment figures for the second quarter of 2014.
Foreign and Domestic Investment in Indonesia (in IDR trillion)
| 2014 |
||||
| Q1 | Q2 | Q3 | Q4 | |
| Domestic Direct Investment | 34.6 | |||
| Foreign Direct Investment | 72.0 | |||
| Total Investment |
106.6 | |||
Foreign and Domestic Investment in Indonesia (in IDR trillion)
| 2011 |
2012 | 2013 | ||||||||||
| Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | Q4 | |
| Domestic Direct Investment | 14.1 | 18.9 | 19.0 | 24.0 | 19.7 | 20.8 | 25.2 | 27.5 | 27.5 | 33.1 | 33.5 | 34.1 |
| Foreign Direct Investment | 39.5 | 43.1 | 46.5 | 46.2 | 51.5 | 56.1 | 56.6 | 65.5 | 65.5 | 66.7 | 67.0 | 71.2 |
| Total Investment |
53.6 | 62.0 | 65.5 | 70.2 | 71.2 | 76.9 | 81.8 | 83.3 | 93.0 | 99.8 | 100.5 | 105.3 |
Source: Indonesia Investment Coordinating Board (BKPM)