FDI falls by 26%, BKPM says
FDI falls by 26%, BKPM says
Tantri Yuliandini, The Jakarta Post, Jakarta
Approved foreign direct investment (FDI) fell by 26 percent to
US$5.75 billion between January and August this year compared to
the same period last year, the Investment Coordinating Board
(BKPM) said on Wednesday.
The board said in a statement that the number of FDI projects
also fell by 8.9 percent to 872 projects compared to the same
period last year, which saw 950 projects approved.
In spite of the lower FDI, the value of approved domestic
investment jumped by 67 percent to Rp 43.93 trillion (about $4.43
billion) as of August this year compared to Rp 26.34 trillion
during the same period last year.
The number of projects approved, however, fell to 161 projects
compared to 234 projects approved between January and August last
year.
The BKPM said that during the first eight months of the year,
sectors which had attracted foreign direct investment were the
trade and repair sector which brought in 300 projects, the
services sector which brought in 147 projects, and the base
metal, metal products, machinery and electronics sector which
attracted 72 projects.
In terms of value, approved FDI projects in the chemical,
chemical products and pharmaceuticals sector were valued at $1.71
billion, projects in the paper, paper products and printing
sector $726.1 million, and projects in the base metal, metal
products, machinery and electronics sectors $463.8 million.
The FDI projects with export potential totaled 234 and were
valued at $6.4 billion, the BKPM said.
The BKPM did not state the realization figures for the
projects.
The top foreign investors as of August 2001 came from Saudi
Arabia with three projects worth $1.5 billion, Singapore with 101
projects worth $1.05 billion, the United Kingdom with 50 projects
worth $564.2 billion, and Japan with 66 projects worth $544.7
billion.
They were followed by Malaysia with 59 projects worth $543.3
billion, South Korea with 193 projects worth $294.4 billion,
Australia with 34 projects worth $206.8 billion, and the United
States with 24 projects valued at $63.9 billion.