Indonesian Political, Business & Finance News

Ministry Pushes Samota SEZ Development in Sumbawa as New Investment Magnet

| | Source: INDOPREMIER.COM Translated from Indonesian | Investment

The Ministry of Investment and Downstreaming/Investment Coordinating Board (BKPM) is encouraging the development of the Samota (Saleh-Moyo-Tambora) Special Economic Zone (SEK) in Sumbawa Regency, West Nusa Tenggara (NTB), as a new investment magnet in Eastern Indonesia. Deputy Minister for Investment and Downstreaming/Deputy Head of BKPM Todotua Pasaribu stated that the successful development of the area depends on investor readiness, land certainty, and infrastructure support. He said the proposal for the Samota SEZ is not only aimed at presenting a new tourist destination but also at building an investment area capable of creating economic added value and absorbing labour. “The proposal for the development of the Samota SEZ must be placed in a broader context. This area must be able to become an instrument to optimise regional advantages while supporting the direction of national investment policy, which pays attention to productive sectors, including tourism, the blue economy, green economy, creative industries, agro-maritime, as well as strengthening connectivity and logistics,” Todotua said in an official statement on Saturday (25/7/2027). Nevertheless, Todotua cautioned that granting SEZ status is not the end goal. According to him, the government will ensure the area has a strong business foundation before it is designated as an SEZ. “Granting SEZ status is not the final objective. The most important thing is to ensure that the area is economically and financially viable, has land certainty, has a clear business plan, is supported by adequate infrastructure, and has investors ready to realise their investments,” he said. Todotua assessed that Sumbawa Regency has several advantages for developing into a new investment area. Besides being located around the strategic Indonesian Archipelagic Sea Lane (ALKI) II as a regional logistics and distribution route, the Samota area also has great potential for the development of premium tourism, the blue economy, downstreaming of the fisheries sector, and agro-maritime. On the other hand, the government is pursuing an investment realisation target of Rp13,032.8 trillion throughout 2025-2029 to support national economic growth of up to 8 per cent by 2029. Up to the first semester of 2026, national investment realisation had reached Rp1,040.6 trillion, or 49.5 per cent of this year’s target of Rp2,041.3 trillion. This achievement also absorbed more than 1.4 million workers, with 50.2 per cent of investment realised outside Java. Specifically in West Nusa Tenggara, investment realisation from 2021 to the second quarter of 2026 reached approximately Rp216.7 trillion. Meanwhile, cumulative investment in the tourism sector from 2023 to the first semester of 2026 reached around Rp190 trillion, placing NTB as one of the top five provinces for national tourism investment destinations. BKPM stated it will continue to coordinate with local governments, business entities, and relevant ministries and agencies to complete all requirements for the Samota SEZ proposal. The government hopes the area can soon develop into a new economic growth centre in NTB while strengthening the investment appeal of Eastern Indonesia.

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