Investment Ministry Acknowledges Rp 2,000 Trillion in Unrealised Investment Due to Structural Barriers
The Ministry of Investment/BKPM has acknowledged that Indonesia's investment climate continues to face various structural and regulatory challenges.
Deputy Minister of Investment Todotua Pasaribu emphasised that although annual investment realisation targets have been met, significant investment potential remains unrealised due to longstanding obstacles such as complex licensing, overlapping policies, and a lack of legal certainty.
According to his records, the value of unrealised investment up to 2024 has reached Rp 2,000 trillion.
"We found that in 2024, the unrealised investment figure was around Rp 1,500 trillion, possibly reaching Rp 2,000 trillion," said Todotua during a Public Consultation on Thursday (3 July).
As a solution, the government is pursuing major reform through regulatory revision and strengthening of the Online Single Submission (OSS) system. New concepts such as the fictive-positive principle under Government Regulation (PP) Number 29 of 2025 have also been proposed to provide legal certainty to investors.
"The fictive-positive principle concerns certainty, particularly for investments that are genuinely ready to enter," he said.
Beyond this, the ministry is also promoting a post-audit approach to accelerate the licensing process, especially in industrial zones and special economic zones. This means licences can be issued more quickly for investors who are ready, with audits conducted afterwards.
"If the investor is ready to enter, we issue the licence immediately. But the basic requirements will be subject to post-audit. The government must make breakthroughs so that we can provide swift service," he said.
Deputy Minister of Investment Todotua Pasaribu emphasised that although annual investment realisation targets have been met, significant investment potential remains unrealised due to longstanding obstacles such as complex licensing, overlapping policies, and a lack of legal certainty.
According to his records, the value of unrealised investment up to 2024 has reached Rp 2,000 trillion.
"We found that in 2024, the unrealised investment figure was around Rp 1,500 trillion, possibly reaching Rp 2,000 trillion," said Todotua during a Public Consultation on Thursday (3 July).
As a solution, the government is pursuing major reform through regulatory revision and strengthening of the Online Single Submission (OSS) system. New concepts such as the fictive-positive principle under Government Regulation (PP) Number 29 of 2025 have also been proposed to provide legal certainty to investors.
"The fictive-positive principle concerns certainty, particularly for investments that are genuinely ready to enter," he said.
Beyond this, the ministry is also promoting a post-audit approach to accelerate the licensing process, especially in industrial zones and special economic zones. This means licences can be issued more quickly for investors who are ready, with audits conducted afterwards.
"If the investor is ready to enter, we issue the licence immediately. But the basic requirements will be subject to post-audit. The government must make breakthroughs so that we can provide swift service," he said.