Central Java a Prime Investment Destination, Says Ministry
Semarang (ANTARA) - The Ministry of Investment and Downstreaming/BKPM has stated that Central Java Province is one of the regions in Indonesia that has become a prime investment destination.
Director of Regional Promotion for Southeast Asia, Australia, New Zealand, and the Pacific at the Ministry of Investment and Downstreaming, Saribua Siahaan, said in Semarang on Tuesday that many investors are eyeing Central Java.
He made the statement during a meeting with Central Java Governor Ahmad Luthfi, as part of a series of field assessments conducted by the Ministry of Investment and Downstreaming in the province.
According to him, full support from the provincial government, adequate infrastructure, ease of licensing, regional conduciveness, and living costs are the main attractions for overseas investors.
“Central Java is a prime destination. Besides having good infrastructure, the regional government system and licensing are also good, and its living costs are competitive, making it attractive for investors to choose Central Java as an investment destination,” he said.
He noted that promoting Central Java’s investment potential to prospective investors is also relatively easy given all these indicators.
Based on his experience in promoting investment potential and convincing investors, land and licensing issues are the main indicators.
This ease, he continued, is inseparable from the strong collaboration between the Central Java Provincial Government through the Investment and One-Stop Integrated Services Office (DPMPTSP) and the Ministry of Investment and Downstreaming.
He acknowledged that Central Java’s characteristics are also highly attractive for investment in the manufacturing sector or labour-intensive industries.
“From my own experience when offering investment potential, investors choosing Central Java are not just one or two. Clearly, Central Java is a prime destination that many investors are eyeing,” he said.
Meanwhile, Central Java Governor Ahmad Luthfi said the province has continued to strive to maintain regional conduciveness and create a healthy investment climate.
Ease of licensing and security guarantees for prospective investors continue to be promoted, supported by regulations, infrastructure improvements, human resource development, and other measures.
“Creating a healthy and conducive investment climate is indeed our shared responsibility. Investment is important for regional development, reducing poverty and unemployment,” he said.
As a result of these efforts, investment realisation in Central Java has continued to increase year on year.
As an illustration, in 2025, investment realisation in Central Java reached approximately Rp110 trillion, and this year, specifically throughout the first half of 2026, it has already reached Rp59.94 trillion.
This comprises foreign direct investment (PMA) of Rp25.92 trillion, domestic direct investment (PMDN) of Rp22.62 trillion, and micro and small enterprises (UMK) of Rp11.40 trillion. Labour absorption in the first half of 2026 has reached approximately 213,000 people.