London (ANTARA News) - Indonesia still has foreign investor confidence for making investments in the country, Capital Investment Coordinating Agency (BKPM) chairman Gita Wirjawan said.
Especially with an economic growth rate estimated to reach 6.5 pct in 2011, Gita Wirjawan said at Indonesian Business Day held at Haus der Commerzbank in Berlin, Counsellor for information, social and cultural affairs at the Indonesian embassy in Berlin Ayodhia GL Kalake told Antara`s London correspondent on Sunday.
A similar statement was also made by Indonesian ambassador to the German Federal Republic Dr. Eddy Pratomo, that Indonesia now also G-20 member country, has a favorable economic statistical record with a debt indicator to a GDP ratio of 26 pct, much better than China`s 60 pct.
Besides a very good monetary policy in which an interest rate increase is only once in the last several years namely 6.5 pct to 6.75 pct, a policy achievements which had never been made by any other country in Southeast Asia.
Indonesia is 46th of 160 countries in the Global Competitiveness World Report. A positive economic condition was one of the considerations of foreign investors to operate in Indonesia, besides national stability, corruption eradication, and bureaucratic obstacles as well as some other supporting factors.
The meeting themed "Business Potentials of Indonesian Industries, Food, Health and Machinery Industries", was addressed by International Cooperation Director General of the Industry Ministry Agus T. Wira Kusuma, Jochen Sautter of German Center Indonesia, and Dr. Ing Gunadi Sindhuwinata, Commissioner of PT. Indomobil Group in a special session on Automotive Potentials and Engineering Industry.
Agus T. Wira Kusuma said that in the last five years Indonesia`s automotive industry had grown 7.5 pct per year, the highest growth rate among other industrial sub sectors in Indonesia.
In 2013 and 2014, Indonesia has set a target of producing 1 million cars. Gunadi Sindhuwinata added that the automotive industry contributed 26 pct of Indonesia`s national income.
In addition last year the car market had reached 2.3 million in the entire ASEAN region, while the total market of motorcycles in ASEAN reached 10.3 million.
In the meantime it had been projected that in 2040 Indonesia will have a motor vehicle market of 250 units/1000 people, both motorcycles and cars.
In the meantime, Agus said that Germany is a manufacturer of first class engineering products needed by Indonesia, so that for a business expansion, Indonesia is the right choice. Engineering products are among the 5 biggest imported goods in Indonesia and Indonesia`s engineering product imports from Germany had reached one billion US dollars or 40 pct of the total imports of engineering products from the European Union.
In the meantime, Jochen Sautter, representative of German Center Indonesia said the government under President SBY, Indonesia and ASEAN would be better integrated in which the market is increasingly developing and undoubtedly Indonesia is the biggest market in ASEAN.
Sautter also said that BRIC plus Indonesia is a global economic savior in time of crisis, and at the same time China and India are in deed of the resources in Indonesia.
Prof. Dr. Ing. Kai Mertins, Chairman of the Berlin-Indonesia Business Council acting as moderator in the session said that Indonesia is as if it is invisible on the radar of German business players in the last ten years, but in the last three years Indonesia has changed into a country with a positive economic growth and therefore became one of the Southeast Asian countries with a high business potential.