Indonesian Political, Business & Finance News

Investment Ministry and EU Launch EU Desk to Boost European Investment in Indonesia

| Source: GALERT
The Ministry of Investment and Downstream Industries/BKPM and the European Union Delegation have officially established the EU Desk as a service centre for EU investors in Indonesia. The cooperation agreement was signed by Investment and Downstream Industries Minister/BKPM Head Rosan Roeslani and EU Ambassador to Indonesia Denis Chaibi at the BKPM Ministry office on 13 June 2025.

The EU Desk will provide market intelligence, business licensing guidance, business cooperation facilitation, identification of potential investment projects, and regulatory policy harmonisation between Indonesia and the European Union. The office is located at the Ministry of Investment and Downstream Industries/BKPM.

Rosan said the establishment of the EU Desk aims to increase the flow of foreign direct investment from the European Union. He noted that this measure is in line with President Prabowo Subianto's directives to simplify regulations, policies, and reduce bureaucratic barriers in the investment sector.

"We believe the presence of the EU Desk will open more channels of communication and potential strategic cooperation that can be mutually beneficial," Rosan said in an official statement on Monday, 16 June 2025.

Rosan also stated that the EU Desk supports the acceleration of the Indonesia-European Union Comprehensive Economic Partnership Agreement (IEU-CEPA), which is targeted for completion before the end of the year.

Denis Chaibi stated that the European Union holds total global investment stock of US$11,000 billion, yet investment flowing to Indonesia remains low. He affirmed the EU's commitment to promoting investment diversification, with Indonesia as one of its priorities. The EU is focused on forging cooperation in sectors aligned with the Asta Cita vision, including renewable energy.

"We are not the best in every sector, but we are champions in renewable energy, water, waste management, technology, and for all of that, European companies are world leaders or number two," said Denis.

According to data from the Ministry of Investment and Downstream Industries/BKPM, total realised EU investment from 2019 to the first quarter of 2025 reached US$13 billion. The largest investments were recorded in the chemical and pharmaceutical industry sector (US$2.1 billion), electricity, gas and water (US$1.9 billion), housing and industrial estates (US$1.1 billion), transport and communications (US$1.07 billion), and other services (US$1.05 billion).
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