I think this time, it's gonna take much a long time for Jkt, Indonesia to recover from this. I mean, the image in foreigners' eyes. I hope no more terrors happen

The government will launch a program to produce low-cost cars in the next two years, the Industry Ministry said, Asia Pulse reported. The national cars will come in two levels - one with prices from Rp60 million ($6,000) to Rp70 million and another at Rp40 million to Rp50 million, said Director General of Transport Equipment Budi Darmadi. Under the program, the ministry hopes that the country's production capacity would increase by 200,000 units a year.

The US government is exploring chances to assist in the revitalization of Indonesia's trains with a $20 billion 10-year loan to run from 2010 to 2020, an official was quoted as saying on Tuesday, Xinhua reported. The Transportation Ministry's Director General for Railways, Tundjung Inderawan, said US ambassador to Indonesia Cameron Hume has invited him to discuss projects that should be carried out during the revitalization.

The government predicted the country's direct investments would grow 7.1% next year, lower than this year's prediction of 7.4% and 11.8% in 2008, Asia Pulse reported on Friday. The value of direct investment should be able to expand by at least 10% but it would be difficult with the global economic crisis, Finance Minister and Coordinating Minister for the Economy Sri Mulyani Indrawati said.

The latest bombings at the Ritz Carlton and JW Marriott hotels in Jakarta that killed at least nine people will have little impact on the country's economic recovery, analysts said on Friday, Channel News Asia reported. While the blasts may hurt investor confidence in the short run, market observers noted that the longer term view is still bullish as fundamentals are in place for growth.

Most foreign businesses in Jakarta will step up security measures following Friday's twin blasts, but few will consider quitting Indonesia's growing economy, business chiefs say, The Age reported. "This country is powering ahead. Executives know that if they pull out because of perceived risks they will miss opportunities that others will capitalize on," said prominent expat businessman Geoffrey Gold.