Austrian businessmen asked to invest more in Indonesia
Austrian businessmen asked to invest more in Indonesia
JAKARTA (JP): The Indonesian Chamber of Commerce and Industry
(Kadin) has asked Austrian businesspeople to invest more in
Indonesia, chairman Aburizal (Ical) Bakrie said yesterday.
He said the chamber also wanted Austrian businesspeople to
help locals export to Central and Eastern Europe.
"Austrian investments are still small here compared to around
US$1 billion made by the Netherlands," Ical said after meeting an
Austrian business delegation led by Egon Winkler.
Austrians invested around $40 million in Indonesia last year
in power stations, railway equipment and other things.
The 20 member trade mission arrived Wednesday for a two-day
visit. The delegation included representatives of Bank Austria,
training consultancy Vais, steel manufacturer VA Tech, power
supplier Elin and contractor MCE.
The visit, which ended yesterday, followed up on Kadin's
meeting in July in Vienna, said Winkler, the Austrian Federal
Economic Chamber's director general of foreign trade and European
integration.
Ical said yesterday that Austria, with a population of about 8
million, had great potential.
"That country's per capita income reached $25,000, much more
than Indonesia's $1,000. If it wants, Austria could invest up to
$10 billion in Indonesia," he said.
"The problem is, whether they want to make Indonesia or Asia a
commercial hub in the region," he said, adding that Indonesia
should promote investment more to attract Austrians.
Ical said Kadin had asked Austria to help Indonesia export to
Central and Eastern Europe.
"Austria also has expertise in banking and counter-trade
arrangements," he said.
During an official visit to Indonesia in March last year,
Austrian President Thomas Klestil said his country intended to
focus its relations on Asia, particularly Indonesia.
Austrian Embassy Commercial Counselor Oskar Andesner told The
Jakarta Post that his country's two-way trade with Indonesia
reached US$415 million last year, up 50 percent on the previous
year.
He said Austrian exports to Indonesia totaled around $315
million last year.
"We are trying to substantially increase our trade and
economic relations between Indonesia and Austria. That's why we
organized this meeting," Winkler said.
The visiting Austrian businesspeople sought opportunities not
only in manufacturing but also in energy, transport, metallurgy,
health, education, finance, technology and the environment, he
said.
Ical said the Austrian delegation expressed keen interest to
take part in the $2.3 billion Blok M-Kota subway project.
Construction for the 14.5-km subway system is to begin next
year, and is scheduled to be completed in 2001. The project
involves Itochu of Japan, Siemens and Ferrostal of Germany.
The Indonesian investors in the project are Ical's PT Bakrie
Investindo, PT Pembangunan Jaya, PT Lippo, PT Bukaka/PT Kuda
Perkasa, PT Suthamthabie and PT Steady Safe.
Bambang Trihatmodjo, President Soeharto's son, is also
interested in joining Jakarta's first subway project, which will
link Blok M in South Jakarta to Kota in West Jakarta. (icn)