Investment commitments reach US$1.28 billion

Investment commitments reach US$1.28 billion

JAKARTA (JP): The Investment Coordinating Board licensed 129 foreign and domestic projects, with combined investment commitments of US$1.28 billion, in the first six months of this year.

Latest data at the agency's Jakarta office show that about $350.82 million of the total commitments will be used to develop 63 foreign investment projects, while the remaining $935.81 million (Rp 2.05 trillion) for 66 domestic investment projects.

The largest portion of the foreign investment commitments will be used by two projects which will manufacture metal wares, with commitments of $109.58 million; followed by two project which will deal with housing, with commitments of $71 million; and one with construction, with commitments of $64.6 million.

The other projects deal with fishery, transportation, textile, chemical substance and other services.

The largest of the domestic investment commitments will be used to develop 179 office building projects, with commitments of Rp 438.81 billion; followed by the development of 74 hotels, with Rp 248.75 billion; 35 housing projects, with Rp 185 billion; and 546 metal wares projects, with Rp 168.32 billion.

The 129 new projects are expected to absorb 14,728 workers, including 588 expatriates.

The new licensed investment commitments brought the total number of projects, approved in the New Order era from 1968 to last month, to 2,223 projects.

Out of the total number, 944 are foreign investment projects, with combined commitments of $11.02 billion, and another 1,429 are domestic projects, with cumulative commitments of Rp 32 trillion.

Metal ware industry dominates the foreign investments by attracting 131 projects, with total commitments of $2.68 billion; followed by office buildings attracting 35 projects, with $1.94 billion; services industry attracting 377 projects, with $1.4 billion; and construction attracting 118 projects, with $1.21 billion.

Services industry constitutes the most favorite sector, attracting 386 projects, with total commitments of Rp 5.9 trillion; followed by office buildings attracting 66 projects, with total commitments of Rp 5.5 trillion; hotel industry attracting 79 projects, with Rp 4.8 trillion; and transportation attracting 126 projects, with Rp 4.3 trillion. (yns)