Hatta as Finance Minister, BKPM Confident Investment Will Increase

The appointment of Coordinating Minister for Economic Affairs Hatta Rajasa as acting Finance Minister is considered unlikely to disrupt investment inflows into Indonesia. The position of finance minister is also a consideration for incoming foreign investment. Head of the Investment Coordinating Board (BKPM) Mochamad Chatib Basri said investors would not be affected by Hatta Rajasa’s role as acting Finance Minister. According to him, investors’ complaints are more about non-technical issues such as regional licensing. “Yesterday an investor came to me and said it was fine (Hatta becoming acting Finance Minister) even if only temporary. What they complained about most was permits and so on,” Chatib said during a press conference on investment in the first quarter of 2013 at his office in Jakarta, Monday (22/4). Chatib was reluctant to comment further when asked whether he would later serve as Finance Minister. In fact, he is confident that a lot of investment will come in even if he no longer serves as Head of BKPM because Indonesia is currently still a prime investment destination. “Investment is not just about one person. Institutionally, we are established, so I am sure a lot of investment will come in later because investment has an impact on infrastructure,” he concluded. President Susilo Bambang Yudhoyono (SBY) appointed Coordinating Minister for Economic Affairs Hatta Rajasa as acting Finance Minister, replacing Agus Martowardojo. However, several parties have doubted his capability as the state’s general treasurer, including economic observers, the NGO FITRA, and the Indonesian Employers Association (APINDO).