Hard To Execute, Bahlil Says There Is Still A Stalled Investment Of IDR 149 Trillion

JAKARTA - Investment Minister/Head of the Investment Coordinating Board (BKPM) Bahlil Lahadalia revealed that there are still IDR 149 trillion stalled investments that have not been executed because it is difficult to realize.

Bahlil emphasized that until now his party has realized a stalled investment of Rp558.7 trillion or around 78.9 percent of the total Rp708 trillion.

"The rest of us can no longer make improvements. This is because they can no longer be executed, due to their internal difficulties," Bahlil said at a press conference in Jakarta, Monday, March 18.

On a contested occasion, Bahlil also conveyed the development of other stalled investment realizations. For example, the PT Lotte Chemical Indonesia factory in Cilegon with a total investment of IDR 59.4 trillion.

According to Bahlil, the investment is the result of the settlement of stalled investments since 2016. Currently, the progress of the factory construction has reached 85 percent and is expected to start producing this year.

The products produced will be substitution of imports with a composition of 70 percent for domestic needs and 30 percent for exports.

"Where the products produced will become import substitution, with a composition of 70 percent for domestic needs, and 30 percent for exports," he said.

Previously, the former Chairman of Hipmi noted that he could inherit a stalled investment project of Rp708 trillion from Tom Lembong. However, Bahlil admitted that he had cleared the stalled investment for less than three years. As much as 78 percent of the total stalled investment has been completed.

"I am included in BKPM, not October 2019, I was inherited by my previous leader with a stalled investment of Rp708 trillion, and thank God, in the no more than three years of stalled investment, we can execute Rp558 trillion or 78.9 percent," he said at a press conference, at the Office of the Ministry of Investment, Jakarta, Wednesday, January 24.

Bahlil admitted that the stalled investment did not reach 100 percent, because many companies chose not to invest due to the COVID-19 pandemic.

"The rest we cannot execute because of the COVID pandemic and the companies are backing down. This is also my report to the public, not that we cannot execute, but indeed the company is experiencing all kinds of internal problems," he explained.