Investment in electronics to jump

Investment in electronics to jump

JAKARTA: The Ministry of Industry and Trade predicted that new
investment in the electronic sector this year would reach around
US$200 million, doubling last year's figure of $100 million.

Director for the electronics industry and IT at the ministry I
Gusti Putu Suryawirawan said on Tuesday that the previous
stimulus package launched by the government had encouraged
investors to make fresh investment.

The government introduced a tax break facility earlier this
year for various electronic goods in a bid to push sales and
encourage new investment in the sector.

Suryawirawan said that plans by the government to lower the
import tariff on raw materials to 10 percent was another factor
that would boost investment.

"We hope the improvement in the tax system and the planned
reduction in tariffs will lure new investment into the
electronics sector," Suryawirawan said as quoted by Antara news
agency.

He said that the new investment would mostly be in supporting
industry such as electronic components.

Elsewhere, Suryawirawan said that electronics exports would
reach $8 billion this year, compared to last year's $6.7 billion.
-- JP