Tue, 24 Nov 2009
Jakarta (ANTARA News) - Domestic investment in the year ended October 2009 climbed 104.5 percent to Rp32.47 trillion from the same period a year earlier, the Investment Coordinating Board (BKPM) said.

"The number of domestic investment projects rose to 212 from 194 previously," BKPM Chief Gita Wirjawan said at a hearing with the House of Representatives Commission VI overseeing trade, industry, investment, cooperatives, small and medium businesses and state enterprises here on Monday.

However, foreign investment in the January-October 2009 period fell 28.8 percent to US$89.28 billion from US$125.37 billion in the same period last year, he said.

Despite the drop, the number of foreign investment projects jumped to 1,008 from 950, he said.

Overall, investment in the first ten months of 2009 reached US$121.75 billion, down 13.8 percent from the same period last year when the figure was US$141.25 billion, he said.

"The condition suggests that the national economy has weathered the global economic crisis as indicated by a rise in domestic investment," he said.

He said chemical and pharmaceutical industries took the lead in attracting domestic investment with a value of Rp5.3 trillion in 14 projects.

The service sector came in second with a value of Rp4.92 trillion in 7 projects, followed by the food industry Rp4.86 trillion in 31 projects, the electricity, gas and water sector Rp3.44 trillion in 4 projects and the construction sector Rp2.37 trillion in 7 projects, he said.

He said most of foreign investment went to transportation, warehousing, communication, and trade sectors as well as chemical, pharmaceutical, metal, machinery and electronic industries.

The investment was largely concentrated in Java and a few areas which are rich in natural resources outside Java, he said.

Riau Islands province whose part of territory is declared free trade zone and free port ranked fifth in terms of foreign investment inflows, he said.

He said Singapore topped the list of foreign investors in the January-October 2009 period with a value of US$4.1 billion in 160 projects, followed by the Netherlands US$1.2 billion in 26 projects, Japan US$580.9 million in 103 projects, South Korea US$553 million in 153 projects, and Britain US$521 million in 49 projects.(*)



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