Indonesian Political, Business & Finance News

Indonesia's Q1 2025 Investment Reaches Rp 465.2 Trillion, Up 15.9 Per Cent Year-on-Year

| Source: GALERT
TEMPO.CO, Jakarta - Investment during the January–March period, or the first quarter of 2025, reached Rp 465.2 trillion.

"In this first quarter, the investment that has come in, been realised, and disbursed stands at Rp 465.2 trillion, or approximately 24.4 per cent," said Minister of Investment and Downstreaming/Head of the Investment Coordinating Board (BKPM) Rosan Roeslani during an online press conference via YouTube on Wednesday, 23 April 2025.

Rosan Roeslani said the investment figure represents approximately 24.4 per cent of the total 2025 investment target set at Rp 1,905.6 trillion. He also noted an increase in investment inflows during Q1 2025 compared with the previous year. The first-quarter figure rose 15.9 per cent from 2024, which recorded Rp 401.5 trillion in investment.

According to Rosan Roeslani, the increase in investment demonstrates confidence from both foreign and domestic investors in investing in Indonesia. "As we all know, investment is a long-term commitment," he said.

Rosan Roeslani revealed that the largest source of capital in Q1 came from domestic investors, totalling approximately Rp 234 trillion or 50.5 per cent. Meanwhile, total foreign investment amounted to Rp 230.4 trillion or 49.5 per cent.

The country contributing the most investment was Singapore. He noted that Singapore has consistently been the largest investor nation over the past ten years. Singapore's investment in Indonesia during Q1 was US$4.6 billion, followed by Hong Kong at US$2.2 billion, China at US$1.8 billion, Malaysia at US$1 billion, and Japan at US$1 billion.

Rosan Roeslani said that most investors directed their capital to areas outside Java during Q1. Investment disbursed outside Java reached Rp 235.9 trillion, higher than the Rp 229.3 trillion invested on the island of Java.

Nevertheless, when broken down by province, Greater Jakarta received the largest investment at Rp 69.8 trillion, followed by West Java at Rp 68.5 trillion, East Java at Rp 36 trillion, Central Sulawesi at Rp 32.7 trillion, and Banten at Rp 6.7 trillion.

The five industrial sectors attracting the most investment were basic metal products, metal goods, and non-machinery equipment at 14.5 per cent; transport, warehousing, and telecommunications at 14.3 per cent; mining at 10.4 per cent; other services at 8.8 per cent; and industrial estates and office complexes at 8.1 per cent.

Thanks to these investment achievements, Rosan Roeslani said, employment absorption increased during Q1. He recorded 594,104 jobs created, an increase of 8.5 per cent compared with the same period the previous year.

"Amid rising geopolitical tensions, we have thankfully still managed to meet our targets," said Rosan Roeslani.
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