Government Targets Rp13,000 Trillion in Investment Realisation by 2029 to Support 8% Economic Growth
JAKARTA — Deputy Minister of Investment and Downstreaming/Deputy Head of the Investment Coordinating Board (BKPM) Todotua Pasaribu has stated that the government is targeting Indonesia to realise Rp13,000 trillion in investment over the next five years, by 2029.
"Over the next five years, as we all know, we have a target figure of Rp13,000 trillion — and we are talking about investment realisation, not investment plans, but actual investment realisation," said Todotua in Jakarta on Thursday (3 July).
According to him, the realisation target is intended to support economic growth of 8 per cent, in line with the directives of President Prabowo Subianto.
He noted that over the past 10 years, the previous government had successfully realised Rp9,900 trillion in investment. In 2024, the government achieved its target of Rp1,650 trillion, even managing to record investment of up to Rp1,700 trillion. This year, BKPM has been set a target of Rp1,900 trillion.
Todotua expressed optimism about meeting the investment targets, noting that in the first quarter of 2025 alone, realised investment in Indonesia had already reached Rp465 trillion.
Furthermore, he expressed hope that the Rp13,000 trillion figure could be achieved within five years, thereby realising the aspired economic growth.
"So over the next five years, to reach the 8 per cent figure for economic growth, we need investment realisation of Rp13,000 trillion," he said.
The Deputy Head of BKPM acknowledged that the figure appears ambitious but is sufficiently realistic to achieve, provided it is pursued comprehensively and in collaboration with other stakeholders.
The Ministry of Investment and Downstreaming/BKPM has begun drafting amendments to BKPM Regulations Numbers 3, 4, and 5 of 2021 to build a conducive and investment-friendly business climate.
Todotua said the refinement of the three regulations would serve as the foundation for reforming risk-based business licensing through the simplification of procedures, strengthening of the Online Single Submission (OSS) system, and enhancement of legal certainty.
The amendments to BKPM Regulations 3/4/5 of 2021 are a follow-up to Government Regulation (PP) Number 28 of 2025 on the Implementation of Risk-Based Business Licensing. The three regulations relate to the OSS System, Licensing Services and Supervision, which are now integrated through PP 28/2025.
**Simplifying Risk-Based Licensing**
The government held a public consultation on the drafting of the amendments, hoping the effort would accommodate investors' expectations for improvements to the investment climate.
"Today's public consultation was held with the strategic objective of absorbing constructive input from stakeholders including ministries and institutions, regional governments, business associations, MSME operators, and investors regarding the proposed amendments to BKPM Regulations Numbers 3, 4, and 5 of 2021," he said.
He acknowledged that BKPM had identified unrealised investment exceeding Rp1,500 trillion, caused by licensing issues. The government is therefore making breakthroughs to reform convoluted bureaucracy.
"Issues such as these — licensing, an unconducive investment climate, overlapping policies, and so on — must indeed become a point of reflection for all of us," he added.
Previously, the government had issued PP 28/2025 to create an ecosystem that facilitates business licensing, with three key breakthrough points.
First, the establishment of a definitive Service Level Agreement (SLA) in the business licensing issuance process. This specifies deadlines at every stage of the licensing process, from registration, document verification, through to verification and issuance.
Second, the implementation of a fictive-positive policy, applied gradually in the risk-based business licensing process. If responses exceed the SLA deadline, the system will automatically advance the process to the next stage.
Third, the government is giving special attention to Micro and Small Enterprises (MSEs) through the simplification of self-declaration-based processes within OSS. Under this regulation, the OSS system has been enhanced with three new subsystems: the Basic Requirements subsystem, the Business Facilities subsystem, and the Partnership subsystem.
"Over the next five years, as we all know, we have a target figure of Rp13,000 trillion — and we are talking about investment realisation, not investment plans, but actual investment realisation," said Todotua in Jakarta on Thursday (3 July).
According to him, the realisation target is intended to support economic growth of 8 per cent, in line with the directives of President Prabowo Subianto.
He noted that over the past 10 years, the previous government had successfully realised Rp9,900 trillion in investment. In 2024, the government achieved its target of Rp1,650 trillion, even managing to record investment of up to Rp1,700 trillion. This year, BKPM has been set a target of Rp1,900 trillion.
Todotua expressed optimism about meeting the investment targets, noting that in the first quarter of 2025 alone, realised investment in Indonesia had already reached Rp465 trillion.
Furthermore, he expressed hope that the Rp13,000 trillion figure could be achieved within five years, thereby realising the aspired economic growth.
"So over the next five years, to reach the 8 per cent figure for economic growth, we need investment realisation of Rp13,000 trillion," he said.
The Deputy Head of BKPM acknowledged that the figure appears ambitious but is sufficiently realistic to achieve, provided it is pursued comprehensively and in collaboration with other stakeholders.
The Ministry of Investment and Downstreaming/BKPM has begun drafting amendments to BKPM Regulations Numbers 3, 4, and 5 of 2021 to build a conducive and investment-friendly business climate.
Todotua said the refinement of the three regulations would serve as the foundation for reforming risk-based business licensing through the simplification of procedures, strengthening of the Online Single Submission (OSS) system, and enhancement of legal certainty.
The amendments to BKPM Regulations 3/4/5 of 2021 are a follow-up to Government Regulation (PP) Number 28 of 2025 on the Implementation of Risk-Based Business Licensing. The three regulations relate to the OSS System, Licensing Services and Supervision, which are now integrated through PP 28/2025.
**Simplifying Risk-Based Licensing**
The government held a public consultation on the drafting of the amendments, hoping the effort would accommodate investors' expectations for improvements to the investment climate.
"Today's public consultation was held with the strategic objective of absorbing constructive input from stakeholders including ministries and institutions, regional governments, business associations, MSME operators, and investors regarding the proposed amendments to BKPM Regulations Numbers 3, 4, and 5 of 2021," he said.
He acknowledged that BKPM had identified unrealised investment exceeding Rp1,500 trillion, caused by licensing issues. The government is therefore making breakthroughs to reform convoluted bureaucracy.
"Issues such as these — licensing, an unconducive investment climate, overlapping policies, and so on — must indeed become a point of reflection for all of us," he added.
Previously, the government had issued PP 28/2025 to create an ecosystem that facilitates business licensing, with three key breakthrough points.
First, the establishment of a definitive Service Level Agreement (SLA) in the business licensing issuance process. This specifies deadlines at every stage of the licensing process, from registration, document verification, through to verification and issuance.
Second, the implementation of a fictive-positive policy, applied gradually in the risk-based business licensing process. If responses exceed the SLA deadline, the system will automatically advance the process to the next stage.
Third, the government is giving special attention to Micro and Small Enterprises (MSEs) through the simplification of self-declaration-based processes within OSS. Under this regulation, the OSS system has been enhanced with three new subsystems: the Basic Requirements subsystem, the Business Facilities subsystem, and the Partnership subsystem.