Fri, 27 May 2011

Yogyakarta (ANTARA News) - Investment in Indonesia nationally increased significantly in 2010 compared to the previous year, the Director of Application Service of the Investment Coordinating Board (BKPM), Suhardi, said.

"The total realization of foreign and domestic investment in 2010 reached Rp208 trillion, up by around 54.2 percent, compared to that of 2009 which was recorded at only Rp135.2 trillion," he said at a meeting on Consolidation of Planning and Implementation of Regional Capital Investment (KP3MR) for across Java and Bali and Kalimantan here on Thursday.

He said investment outside Java in 2010 also increased significantly by 33 percent compared to that of the year before.

"That shows there has been distribution in investment and economic growth in Indonesia which has so far been traditionally centered in Java," he said.

The condition also shows an improvement although Java is still ranked first with regard to investment, he said.

He said it also shows that the government`s efforts in improving investment climate through better service and policy reform have been fruitful.

"The achievement also shows there has been an improvement in investment climate at provincial and district/city levels and in the domestic role in investment activities," he said.

He said the country`s national economy has also shown meaningful compliance. In the past several years economy could grow around six percent.

"The economic growth in 2011 is predicted to be able to reach seven percent a year. Therefore to attract investment opportunities must be created and existing potentials exploited," he said.

He said Indonesia`s potentials mainly come from natural resources, such as geothermal energy source which comprise 40 percent of the world`s geothermal source and coal reserves which are huge.

"Our agricultural and mining commodities are also huge such as palm oil whose certified production reached five million tons. The country`s large population is also potentials for consumer companies," he said