Govt OKs $232m in new FDI projects

JAKARTA (JP): The government approved 87 foreign direct investment (FDI) projects worth US$232 million in the first two months of the year, an official at the Investment Coordinating Board said on Tuesday.

Asril Noer, an assistant to State Minister of Investment Hamzah Haz, said on the sidelines of a seminar here that the foreign investment commitment showed that the country was still attractive for investment despite the crisis.

"Many people doubt that anyone would ever invest here in a time of crisis like this. But the fact is that we approved 87 projects for foreign investors in the first two months," Asril was quoted by Antara as saying.

He did not say, however, how much foreign investment approval was in the first two months of last year.

Asril said most of the projects were in export-oriented industries, mainly agribusiness and fishery.

Investors from Australia topped the list, committing $105 million in investments, those from Asian countries investing $87.7 million and British investors investing $22.2.

Investors from France got approval for $9.6 million worth of projects, those from the United States $2.1 million, the Netherlands $2 million, Belgium $1.4 million and Spain $1 million.

Investors from African countries such as Mauritius made up the remaining $800,000 in approved investment, he said.

Asril, who read out Hamzah's speech at the seminar, said the government would continue to streamline paperwork procedures for both foreign and local investors.

He said his office was considering placing staff in Indonesian embassies abroad to give preliminary approval for foreign investors willing to put money in the country.

When asked about possible changes in investment policies if there was a new government after the June general election, Asril said he saw little possibility for drastic change in policies.

"I doubt government policies will change much after the elections because we have to maintain our credibility," he said. (das)