Foreign investments decline sharply<\/p>\n
JAKARTA (JP): Foreign investments approved by the government
\nfor the development of non-oil and non-financial businesses fell
\nsharply in the period from June to July, dropping to US$139.56
\nmillion from $225.85 million in the May-June period.<\/p>\n
However, in a monthly report released yesterday, the
\nInvestment Coordinating Board (BKPM) said that domestic
\ninvestments surged to Rp 7.55 trillion ($3.48 billion) from Rp
\n3.05 trillion.<\/p>\n
The report explained that foreign investments approved in the
\nJune-July period were slated for 12 new projects worth $44.94
\nmillion and for 18 expansion projects worth $94.61 million.<\/p>\n
For comparison, during the May-June period the government
\napproved 15 new projects worth $125.16 million and 17 expansion
\nprojects worth $100.68 million.<\/p>\n
State Minister of Investment Sanyoto Sastrowardoyo made an
\nannouncement last month that the total foreign investment
\ncommitments approved by the government in the first seven months
\nof this year had reached $14.7 billion. He said this years
\nforeign investments were expected to reach $20 billion, as
\ncompared to $8 billion last year.<\/p>\n
The report also noted that the domestic investments approved
\nin the June-July period were committed for 102 new projects
\nvalued at Rp 5.82 trillion and 25 expansion projects valued at Rp
\n1.72 trillion. In the previous period, the government approved
\n56 new projects valued at Rp 1.95 trillion and 36 expansion
\nprojects valued at Rp 1.09 trillion.<\/p>\n
Projects<\/p>\n
The report showed that the largest foreign investment
\ncommitment approved in the June-July period was made by PT
\nEresindo Bintan, with a total investment of $24.3 million for a
\nhotel and water resort project in Riau.<\/p>\n
The other new foreign investment projects include:<\/p>\n
* A $6.42 million soft drink plant in West Java committed by
\nPT Ajinomoto Calpis Beverages Indonesia.<\/p>\n
* A $5 million hotel and accommodation project in Riau
\ncommitted by PT Riau Island Indah Resort.<\/p>\n
* A $2 million cold fish storage and ice cube factory in Aceh
\ncommitted by PT Erti Mahkota Sejati.<\/p>\n
The foreign expansion projects include:<\/p>\n
* A $23.08 million dry battery factory in West Java committed
\nby PT Eveready Battery Company Indonesia.<\/p>\n
* A $15 million plant to produce heavy equipment and
\ncomponents in Jakarta committed by PT Hitachi Construction
\nMachinery Indonesia.<\/p>\n
* A 14.53 million car equipment plant in West Java committed
\nby PT Hino Indonesia MFG.<\/p>\n
Domestic<\/p>\n
The new domestic investment projects include:<\/p>\n
* A Rp 875.50 billion shrimp farm and cold storage in Lampung
\ncommitted by PT Central Pertiwi Bratasena.<\/p>\n
* A Rp 586.57 billion portland cement factory in Central Java
\ncommitted by PT Semen Gombong.<\/p>\n
* A Rp 500 billion heavy equipment leasing business in West
\nJava committed by PT Vinico Gria.<\/p>\n
* A Rp 432 billion portland cement factory in North Sulawesi
\ncommitted by PT Sulenco Whibawa.<\/p>\n
* A Rp 390.50 billion fertilizer and ammonia factory in West
\nJava committed by PT Pupuk Kujang Dua.<\/p>\n
The Domestic expansion projects include:<\/p>\n
* A Rp 985 billion portland cement factory in Central Java
\ncommitted by PT Semen Nusantara.<\/p>\n
* A Rp 354.69 billion glass factory in West Java committed by
\nPT Mulia Glass.<\/p>\n
* A Rp 67.39 billion spinning mill in West Java committed by
\nPT Malakasari.<\/p>\n
* A Rp 39.25 billion fodder and shrimp feed factory in West
\nJava committed by PT Multi Phala Agrinusa.<\/p>\n
BKPM also announced that it had canceled four domestic
\ninvestment projects, two of which were supposed to be located in
\nWest Java -- a doll factory of PT Gema Aneka Toys Indonesia and a
\nspinning mill of PT Sunsonindo Textile Industry. The other two
\nwere originally planned in Jakarta -- a doll factory of PT Ika
\nMandiri Inti Kreasi and an iron and steel plant of PT Dendrit.
\n(yns)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/foreign-investments-decline-sharply-1447893297",
"image": ""
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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