Investment Target Rises, Commission XII Requests Increased Budget for BKPM

JAKARTA — Member of Commission XII of the DPR, Ratna Juwita, has urged the government to increase the budget allocation for the Ministry of Investment and Downstreaming/BKPM for the 2027 Fiscal Year. This step is considered essential to balance the surge in national investment targets, which are set to reach Rp 2,927 trillion.

She highlighted the disparity between the ministry’s expanding workload and a budget ceiling that has actually shrunk to approximately Rp 974 billion from a previous Rp 1.2 trillion.

“The Ministry of Investment and Downstreaming has been assigned such a massive task and serves as one of the spearheads for increasing the country’s economic growth. Naturally, it must be provided with a proportional budget allocation,” said Ratna following a Technical Deepening Hearing for the 2027 RKA-K/L at the Nusantara I Building, Senayan, Jakarta, on Tuesday (1/9/2026), as reported in a written statement.

The PKB Fraction politician emphasised that Commission XII will fight to ensure the ministry’s budget is restored to at least Rp 1.2 trillion through oversight within the DPR RI Budget Committee (Banggar).

Beyond budget issues, Ratna criticised the quality of national downstreaming realisation. Although downstreaming investment in the first semester of 2026 exceeded Rp 300.1 trillion, with 75% of it spread outside Java, the structure is deemed to be still too dominated by Foreign Direct Investment (FDI) and the mineral and coal (minerba) sectors.

“We request the Ministry of Investment to spread downstreaming to other sectors such as plantations and marine resources. Future investment reports must also present a comparable ratio of local labour absorption so that performance can be measured,” said the legislator from the East Java IX constituency.

Finally, she addressed the planned development of the Online Single Submission (OSS) system based on Artificial Intelligence (AI). Ratna encouraged the Ministry of Investment to collaborate with the National Research and Innovation Agency (BRIN) to improve cost efficiency rather than using external vendors.

Cooperation with local talent is believed to produce a licensing system that is more user-friendly for MSMEs in the regions.