HKI Urges Acceleration of SEZ Permits After Manufacturing Index Decline

The Indonesian Industrial Estates Association (HKI) is urging policies to accelerate investment following the contraction of Indonesia’s Manufacturing Purchasing Managers’ Index (PMI) to 46.9 in June 2026. “When manufacturing activity is slowing down, we actually need to accelerate the birth of new economic growth centres,” said HKI Chairman Akhmad Maruf Maulana in a written statement on Sunday, 5 July 2026.

According to Akhmad, one of the most effective instruments to realise investment and create economic activity is to speed up the licensing process for Special Economic Zones (SEZs). He stated that there are currently several proposals for the development and expansion of SEZs being processed by the government. These include the Wiraraja Madura SEZ developed by PT Wiraraja Madura Internasional, the Digital Bekasi SEZ by PT Daybreak Digital, and the Sidoarjo Halal Industry SEZ by PT Makmur Berkah Amanda Tbk. Other proposals include the Batuta Chemical Industrial Park (BCIP) in East Kalimantan, the Patimban SEZ in Subang Regency, the Subang SEZ, the Mangkupadi SEZ in North Kalimantan, and the expansion of the Nongsa SEZ in Batam.

Akhmad noted that the increasing number of SEZ development proposals indicates that investor confidence in Indonesia’s prospects remains strong. He believes this momentum must be maintained through a fast, transparent evaluation and licensing process that provides legal certainty. “We hope the government can accelerate the entire evaluation and licensing process for SEZs without compromising the quality of the studies,” he said.

Akhmad stated that time certainty is one of the main factors in investment decisions. He is optimistic that accelerating investment can speed up job creation, increase production capacity, and drive the economy. “Now is the time for the government to speed up permits so that this optimism can quickly turn into real investment,” he concluded.