14 June 2022 (closed)
Jakarta Composite Index (7,049.88) +54.44 +0.78%
USD/IDR (14,146) -6.00 -0.04%
EUR/IDR (17,335) +57.05 +0.33%
On Monday 20 April 2020 the Investment Coordinating Board (in Indonesian: Badan Koordinasi Penanaman Modal, or BKPM), a government agency, released the latest direct investment data, involving foreign and domestic direct investment in the first quarter of 2020.
The release of macroeconomic data is currently extremely interesting as it shows to what extent the novel coronavirus (COVID-19) crisis is impacting on the economy. In terms of direct investment realization in Q1-2020 we were somewhat surprised to see no significant deterioration (yet). But perhaps the reason is simple: in the first two months of 2020 the Indonesian economy was not heavily affected yet.
Still, what remains remarkable is that in terms of foreign direct investment (FDI) in Indonesia there was a not a big drop in Chinese investment in Q1-2020. Considering China was heavily affected by COVID-19 in Q1-2020 we assumed that this would lead to a hiccup in Chinese investment.
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Poll Indonesia Investments:
What Do You Think Is the Biggest Obstacle in Indonesia's Investment Environment?
Voting possible: -
- Corruption (33%)
- Excessive bureaucracy (22%)
- Lack of legal certainty (18.2%)
- Low quality human resources (10.2%)
- Weak infrastructure (8.3%)
- Rising minimum wages (8.3%)
Total amount of votes: 264