Govt to stage road shows overseas

JAKARTA (JP): The government will conduct road shows to Japan and three European countries later this year to rebuild investors' confidence in Indonesia's investment climate following major rioting in the city late last month.

State Minister of Investment Sanyoto Sastrowardoyo told journalists after a coordination meeting of economic ministers yesterday that he will lead the road shows to Japan and France in October, and the Netherlands and Britain in November.

Sanyoto said the planned investment promotion has nothing to do with the recent riots, but is something routine. However, he noted that he will stand ready to give clarifications when there are questions about the rioting.

Jakarta was rocked by violent riots last month. Three people were killed and over 20 were injured. The riots also caused widespread damage to property, including the burning and stoning of 22 buildings, official figures said.

The government hoped that the riots would not adversely affect the country's investment climate, but foreign investors seem to remain jittery.

Sanyoto noted yesterday that the investment situation has returned to normal, pointing to investors' increasing interests in investing in the country.

"Besides, we have not heard any significant complaints from foreign investors so far," Sanyoto said.

Sanyoto reported earlier that the government approved 634 foreign investment projects worth US$21.8 billion from Jan. 1 to July 27, 1996, compared with 475 projects worth $28.7 billion in the same period of 1995.

Approved domestic investments were worth Rp 75.3 trillion ($32 billion) for 546 projects from Jan. 1 to July 27, 1996, compared with Rp 69.8 trillion for the whole of 1995.

Meanwhile, the investment realization rate has improved to 53.4 percent for foreign investment and 47.9 percent for domestic investment. (rid)