IRI Forum: Taking advantage
IRI Forum: Taking advantage of new investment opportunity
The Indonesia Regional Investment Forum (IIRIF) 2003 will be held at the Jakarta Convention Center (JCC) from July 2 to July 4 to discuss opportunities and challenges in investing in the country's economically more independent provinces.
"The forum will provide a golden opportunity for regional governments to convince investors that they have been relentless in their efforts to create an investment-friendly environment," said Bambang Soeroso, vice chairman of the Regional Representative Faction of the People's Consultative Assembly (MPR), which is organizing the upcoming event.
Themed "To Accelerate Regional Investment In Conjunction With Global Economic Competition", the forum will feature a conference and exhibition.
President Megawati Soekarnoputri is scheduled to open the forum, and Vice President Hamzah Haz is to witness the signing of a memorandum of understanding (MOU) between investors and regional administrations prior to the close of the forum.
Speakers are to include Indonesian senior ministers, top executives of major Indonesian companies and noted economic analysts. Trade and investment ministers from neighboring countries are also expected to address the forum.
The conference is divided into the three separate categories of Keynote Forum, Indonesian Perspective, and Investor Perspective. Discussion topics include: The Economics of Infrastructure Development: Identifying Needs and Attracting Investment by Minister of Settlements and Regional Infrastructure Soenarno; Realizing the Potential of Indonesia's Marine and Agro Sector by Minister of Maritime Affairs and Fisheries Rokhmin Dahuri; Investing in Indonesia's Mining and Energy Sector by Minister of Energy and Mineral Resources Purnomo Yusgiantoro. Future Prospect of Investment in Indonesia to be presented by Harvest International's President Director Harvey Goldstein; and Investing in Indonesia: Freeport Story by PT Freeport Indonesia's President Director Adrianto Machribie.
"The guests will also be involved as speakers at the seminar, presenting their perspective on investment activities in their respective countries," said Bambang.
The exhibition will also feature potential investment areas in various regencies and cities. "Each regional government will provide information on their potential and readiness to cooperate with prospective investors," he said.
The highlight of the IIRIF will be the signing of the MOU between investors and regional governments, to be witnessed by the Regional Representatives Faction of the MPR.
Initial activities have been launched by the organizing committee to ensure the success of the big event. These efforts include road shows to each province in Indonesia as well as to several other countries in the region. "We have visited the Philippines and Malaysia, and will visit Singapore next week.
"An effort is also underway to promote the investment forum in several European countries, including the United Kingdom, the Netherlands, Spain and Germany," Bambang said, adding, "On behalf of our legislators, we guarantee that Indonesia is currently safe to receive investors."
One of the most important points gained from the overseas road show, is the growing demand for security and legal certainty and tangible efforts to avoid possible losses incurred by investors.
"In response to the demand, we are working jointly with the Coordinating Minister of Security and Political Affairs Soesilo Bambang Yudhoyono, who also shares the same concerns on the need to improve regional security. The minister is scheduled to provide an overview on security concerns at the forum," Bambang said.
He said that through the forum, governors and regents were expected to become aware that some of their economic policies, such as the imposition of levies introduced as part of the regional autonomy, had seriously hurt the investment climate and discouraged investors in their respective region.
"The regional autonomy has been wrongly perceived by several regional governments, and this mistaken perception has subsequently driven them to issue regulations that are contrary to the spirit of decentralization," he said.
"Our task is to make them aware of this, and to ask them not to repeat it," he said.
To attract investors to the regions, regional governments are encouraged to set up less complicated and less bureaucratic investment procedures so that investors can obtain their investment permits or other business licenses quickly.
"At least, the regional governments have a strong commitment to providing a one-stop investment service," he said.
With the regional autonomy, investors should be able to apply for investment permits from regency-level administrations, instead of through the provincial authority or the central government.
The event is being organized by the Regional Representatives Faction of MPR in cooperation with the association of regency- level governments (APKASI), the association of the Indonesian municipality (APKESI), and the Indonesian Chamber of Commerce and Industry (KADIN).