Government Vows to Eradicate Thuggery and Illegal Levies Hindering Investment
JAKARTA — Minister of Industry Agus Gumiwang Kartasasmita has affirmed that the government is committed to continuously eliminating practices that obstruct investment flowing into Indonesia. The move is intended to boost domestic investment from both foreign and local sources.
"I believe the government under President Prabowo is firmly committed to eradicating anything that damages our investment climate," said Agus, as quoted from Antara, Jakarta, Thursday (19/6).
Among the forms of investment obstruction to be eradicated are thuggery and illegal levies. He emphasised that the government would continue to strengthen regulations and prevent such obstructive practices, particularly in industrial zones.
"I believe the commitment of President Prabowo's administration and all of us in eradicating actions or practices that essentially violate the law is growing stronger," he added.
Previously, Indonesia's investment realisation in the first quarter of 2025 was recorded at Rp465.2 trillion, according to the Ministry of Investment (BKPM). This figure represented a 15.9% year-on-year increase compared with the Rp401.5 trillion achieved in the same period the previous year.
According to Minister of Investment and Downstream Industries/Head of BKPM Rosan Perkasa Roeslani, the first-quarter 2025 investment realisation was in line with targets set by the National Development Planning Agency (Bappenas).
The total investment target for this year stands at Rp1,905.6 trillion. This means the first-quarter realisation has already reached nearly a quarter of the target, equivalent to 24.4%.
"Alhamdulillah, investment in the first quarter has met the target set by Bappenas for us," said Rosan, Wednesday (23/4).
The Rp465.2 trillion investment realisation comprised foreign direct investment (PMA) of Rp230.4 trillion and domestic investment (PMDN) of Rp234.8 trillion. Rosan detailed that the largest share of investment realisation came from outside Java, totalling Rp235.9 trillion or 50.9% of the first-quarter total, whilst Java accounted for Rp229.3 trillion or 49.3%.
"I believe the government under President Prabowo is firmly committed to eradicating anything that damages our investment climate," said Agus, as quoted from Antara, Jakarta, Thursday (19/6).
Among the forms of investment obstruction to be eradicated are thuggery and illegal levies. He emphasised that the government would continue to strengthen regulations and prevent such obstructive practices, particularly in industrial zones.
"I believe the commitment of President Prabowo's administration and all of us in eradicating actions or practices that essentially violate the law is growing stronger," he added.
Previously, Indonesia's investment realisation in the first quarter of 2025 was recorded at Rp465.2 trillion, according to the Ministry of Investment (BKPM). This figure represented a 15.9% year-on-year increase compared with the Rp401.5 trillion achieved in the same period the previous year.
According to Minister of Investment and Downstream Industries/Head of BKPM Rosan Perkasa Roeslani, the first-quarter 2025 investment realisation was in line with targets set by the National Development Planning Agency (Bappenas).
The total investment target for this year stands at Rp1,905.6 trillion. This means the first-quarter realisation has already reached nearly a quarter of the target, equivalent to 24.4%.
"Alhamdulillah, investment in the first quarter has met the target set by Bappenas for us," said Rosan, Wednesday (23/4).
The Rp465.2 trillion investment realisation comprised foreign direct investment (PMA) of Rp230.4 trillion and domestic investment (PMDN) of Rp234.8 trillion. Rosan detailed that the largest share of investment realisation came from outside Java, totalling Rp235.9 trillion or 50.9% of the first-quarter total, whilst Java accounted for Rp229.3 trillion or 49.3%.