AmCham Urges Policy Certainty to Attract US Investment

The American Chamber of Commerce in Indonesia (AmCham) is pushing for strengthened policy certainty to maintain the confidence of United States investors and attract more investment into Indonesia.

Speaking at The 14th US-Indonesia Investment Summit in Jakarta on Tuesday, AmCham Indonesia Vice Chair of the Board of Governors, Mira Arifin, noted that Indonesia possesses a sufficiently strong economic base, including sustained economic growth in recent years. However, she argued that risks arising from policy changes must be minimised to ensure investor trust remains intact.

“The perspective is about confidence. Indonesia already has a very good foundation. We have seen several years of Gross Domestic Product (GDP) growth of over 5 per cent, which is continuing. This is vital for maintaining growth, prosperity, and trust,” said Arifin.

She added that the government needs to reduce risks related to policy shifts to make the investment process easier for businesses. “There is significant interest from American investment in Indonesia, so the focus should be on how we make it easier,” she added.

AmCham believes Indonesia still possesses numerous attractive factors for US companies, including its large domestic market and a growing young population. While foreign companies, including those from the US, still face various investment challenges and hurdles, the vast opportunities in Indonesia ensure that investors remain interested in committing capital.

AmCham also encourages the creation of investment relationships that provide mutual benefits. “What we hope for is a win-win situation. Investors can invest effectively in Indonesia while also contributing to Indonesia’s growth,” Arifin stated.

In addition to policy certainty, AmCham believes that the resolution of the Indonesia-US Agreement on Reciprocal Trade (ART) could further strengthen the investment climate. AmCham Managing Director Donna Priadi noted that several points within the ART have been a point of concern for US businesses operating in Indonesia. He stated that the implementation of the ART is expected to provide additional certainty for businesses and improve the investment climate for US companies in Indonesia.