Investment realization this year down: Minister<\/p>\n
JAKARTA (JP): The realization of investment approvals in the
\ncountry will be lower than the initial target due to the currency
\ncrisis, State Minister of Investment Sanyoto Sastrowardoyo said
\nyesterday.<\/p>\n
Sanyoto said investors, especially from overseas, were still
\nenthusiastic about investing in the country's industrial sector,
\njudging from the inflow of investment applications, but many of
\nthe investment commitments had not been realized.<\/p>\n
\"The applications still come in, but the realization is harder
\nnow,\" Sanyoto was quoted by Antara as saying.<\/p>\n
He did not disclose a figure on the amount of foreign
\ninvestment commitments to be realized.<\/p>\n
\"It is hard to predict how much will be realized,\" he said
\nbefore the meeting of the People's Consultative Assembly.<\/p>\n
Speculative attacks on the rupiah has caused it to drop over
\n25 percent against the U.S. dollar since early July.<\/p>\n
A series of government measures have been enforced to
\nstabilize the falling rupiah, including the rise in the interest
\nrates of Bank Indonesia's short-term SBIs. This has caused
\ndeposit and lending rates to skyrocket.<\/p>\n
The government last month decided to either delay or review
\nprojects worth about US$38 billion until the monetary situation
\nreturned to normal.<\/p>\n
Sanyoto said foreign investors still showed interest in
\nIndonesia during the recent promotion activities conducted by the
\nMinistry of Investment in Europe.<\/p>\n
He said a conducive investment climate in the country still
\nprompted European businesses to invest here.<\/p>\n
Earlier this year, Sanyoto announced a 36 percent drop in
\nforeign investment approvals in this year's first five months,
\ndue to the general election.<\/p>\n
Foreign investment approvals in the January to May period of
\nthis year totaled $14.4 billion. (das)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/investment-realization-this-year-down-minister-1447893297",
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"sponsor": "Okusi Associates",
"sponsor_url": "https:\/\/okusiassociates.com"
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