Prabowo Secures Rp574 Trillion Investment from Japan and South Korea for Indonesia
JAKARTA - Coordinating Minister for the Economy Airlangga Hartarto stated that President of the Republic of Indonesia Prabowo Subianto’s visit to Japan and South Korea has successfully secured investment commitments amounting to Rp574 trillion.
During his visit to Japan, Prabowo agreed on investment commitments worth US$23.6 billion, or approximately Rp401 trillion, while in Seoul, South Korea, concrete agreements were reached through the signing of various memoranda of understanding (MoUs) between business actors, with a total value of US$10.2 billion, equivalent to Rp173 trillion.
“This is a very significant figure because Indonesia, in the current uncertain geopolitical situation, remains attractive to investors from both Japan and South Korea. Japan ranks third in investments and trade, and South Korea ranks seventh,” said Airlangga in Jakarta on Thursday (2/4), citing Antara.
South Korean Investments
Airlangga explained that investment cooperation with South Korea covers various sectors, including energy and green transition, solar power development, carbon capture and storage (CCS) technology, and renewable energy.
Additionally, collaboration is expanded to the industrial and manufacturing sectors, including the development of the steel industry, batteries, and eco-friendly transportation.
On the other hand, investments with South Korea also encompass the property and infrastructure sectors, including the development of the Bumi Serpong Damai area, as well as strengthening business partnerships through cooperation between the Indonesian Chamber of Commerce and Industry (Kadin) and the Korea Chamber of Commerce and Industry.
In this context, the sustainability of investments from POSCO and the investment interest from Lotte, which opens opportunities for collaboration with Danantara as an investment partner, become important parts in deepening cooperation between the two countries.
Japanese Investments
Meanwhile, investment cooperation with Japan covers several sectors, including energy and energy transition, such as the development of oil and natural gas with a focus on the Masela Project, as well as strengthening the industrial sector and downstreaming to increase domestic value added.
“The value of these commitments reflects the high confidence of investors while opening up great opportunities for the development of strategic sectors and national economic growth in the future,” said Airlangga.
These efforts are carried out systematically to ensure that every investment barrier can be handled effectively, so that the project realisation process can run more optimally and provide certainty for investors.