Property Sector Contributed 7.2 Per Cent of National Investment Realisation Last Year
Jakarta (ANTARA) - Director of Promotion Development at the Ministry of Investment/BKPM Rakhmat Yulianto said the property sector, particularly the housing, industrial estate and office subsectors, contributed Rp122.9 trillion or 7.2 per cent of total national investment realisation last year.
"If we look at the figures from the previous year, the property sector's contribution was 7.2 per cent of total national investment realisation," Rakhmat said during his presentation in Jakarta on Thursday.
According to Rakhmat, property ranked fourth among the sectors making the most significant contributions throughout 2024. Besides property, the four subsectors in the top five for Foreign Direct Investment (FDI) and Domestic Direct Investment (DDI) realisation last year were basic metals, metal goods excluding machinery and equipment (13.9 per cent or Rp238.4 trillion); transportation, warehousing and telecommunications (11.1 per cent or Rp189.9 trillion); mining (10.8 per cent or Rp184.7 trillion); and other services (7 per cent or Rp120.8 trillion).
Overall investment realisation for January-December 2024 reached Rp1,714.2 trillion, an increase of 20.8 per cent year-on-year.
Additionally, Rakhmat said the property sector, including housing, industrial estates and offices, also contributed 9.33 per cent to national investment realisation over the past five years.
"Investment realisation was dominated by domestic investment amounting to Rp350.13 trillion or 65 per cent during 2020-2024," Rakhmat said.
Meanwhile, Jakarta, West Java, Banten, Bali and North Maluku were the top five destinations for FDI and DDI during the 2020-2024 period.
"If we look at the trend of foreign investors, Singapore, China and Hong Kong still play an important role as they hold significant value," he said.
On the other hand, Rakhmat said investment worth Rp13,032.8 trillion is needed to achieve the national economic growth target of 8 per cent.
"During 2015-2024, the real estate sector's GDP experienced average growth of 5.31 per cent. The real estate and construction sectors contributed 6.74 per cent to the national workforce during 2020-2024," Rakhmat said.
"For 2025-2029, we need funding which we estimate at more than Rp13,000 trillion. This is also expected to create quality housing whilst generating 3.3 million jobs," he added.
"If we look at the figures from the previous year, the property sector's contribution was 7.2 per cent of total national investment realisation," Rakhmat said during his presentation in Jakarta on Thursday.
According to Rakhmat, property ranked fourth among the sectors making the most significant contributions throughout 2024. Besides property, the four subsectors in the top five for Foreign Direct Investment (FDI) and Domestic Direct Investment (DDI) realisation last year were basic metals, metal goods excluding machinery and equipment (13.9 per cent or Rp238.4 trillion); transportation, warehousing and telecommunications (11.1 per cent or Rp189.9 trillion); mining (10.8 per cent or Rp184.7 trillion); and other services (7 per cent or Rp120.8 trillion).
Overall investment realisation for January-December 2024 reached Rp1,714.2 trillion, an increase of 20.8 per cent year-on-year.
Additionally, Rakhmat said the property sector, including housing, industrial estates and offices, also contributed 9.33 per cent to national investment realisation over the past five years.
"Investment realisation was dominated by domestic investment amounting to Rp350.13 trillion or 65 per cent during 2020-2024," Rakhmat said.
Meanwhile, Jakarta, West Java, Banten, Bali and North Maluku were the top five destinations for FDI and DDI during the 2020-2024 period.
"If we look at the trend of foreign investors, Singapore, China and Hong Kong still play an important role as they hold significant value," he said.
On the other hand, Rakhmat said investment worth Rp13,032.8 trillion is needed to achieve the national economic growth target of 8 per cent.
"During 2015-2024, the real estate sector's GDP experienced average growth of 5.31 per cent. The real estate and construction sectors contributed 6.74 per cent to the national workforce during 2020-2024," Rakhmat said.
"For 2025-2029, we need funding which we estimate at more than Rp13,000 trillion. This is also expected to create quality housing whilst generating 3.3 million jobs," he added.