Update COVID-19 in Indonesia: 130,718 confirmed infections, 5,903 deaths (12 August 2020)
12 August 2020 (closed)
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The Indonesia Investment Coordinating Board (BKPM) announced on Thursday (22/10) that foreign direct investment (FDI) into Indonesia climbed 18.1 percent (year-on-year) to IDR 92.5 trillion (approx. USD $6.85 billion) in the third quarter of 2015 from the same quarter a year earlier. The Q3-2015 18.1 percentage point growth was almost the same as the 18.1 percent (y/y) increase in FDI posted in the previous quarter. FDI data from the BKPM does not include investment in the country's banking and oil & gas sectors.
However, the BKPM uses a rupiah exchange rate at IDR 12,500 per US dollar, while Bank Indonesia's benchmark rupiah rate (Jakarta Interbank Spot Dollar Rate, abbreviated JISDOR) has depreciated to IDR 13,640 per US dollar.
Indonesian Rupiah versus US Dollar (JISDOR):| Source: Bank Indonesia
After it was announced that FDI in Indonesia remained strong in Q3-2015, the rupiah appreciated markedly. According to the Bloomberg Dollar Index, the rupiah had appreciated 1.38 percent to IDR 13,534 per US dollar by 11:50 am local Jakarta time. Steady FDI inflows will boost the country's economic growth which slowed to a six-year low of 4.67 percent in the second quarter of 2015.
Meanwhile, domestic direct investment grew 14.9 percent to IDR 47.8 trillion in the third quarter of 2015.
Cumulatively, total investment realization in Indonesia reached IDR 400 trillion in the first three quarters of 2015, equivalent to 77 percent of the BKPM's total 2015 investment target of IDR 519.5 trillion. Franky Sibarani, Head of the BKPM, said he is optimistic that investment realization will surpass the target.
Together, domestic and foreign direct investment realization in Q3-2015 provided additional employment opportunities to 373,560 Indonesian workers.
Foreign and Domestic Investment in Indonesia (in IDR trillion):
|Domestic Direct Investment||34.6||38.2||41.6||41.7||42.5||42.9||47.8|
|Foreign Direct Investment||72.0||78.0||78.3||78.7||82.1||92.2||92.5|
|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|
Source: Indonesia Investment Coordinating Board (BKPM)