Coordinating Minister Airlangga: Japanese Business Federation Commits To Strengthening Investment In Indonesia

JAKARTA - Coordinating Minister for Economic Affairs Airlangga Hartarto said that the Japanese Business Federation or Keidanren is committed to strengthening investment in Indonesia.

This was conveyed when he met with the Chair for Indonesia-Japan Committee in Keidanren Kabinoki Masumi, on the sidelines of his visit to Tokyo, Japan.

"This meeting discussed the development of various collaborations, as well as the potential and challenges faced by Japanese companies in investing and running their business in Indonesia," Airlangga said in a statement in Jakarta, Friday.

The meeting emphasized the importance of strengthening cooperation and facilitating Japanese investment in Indonesia, especially in the midst of global economic uncertainty.

During the meeting, Airlangga listened directly to the input from Keidanren.

Keidanren is a Japanese Business Federation consisting of 1,542 company representatives, 106 industrial associations, and regional economic organizations from 47 prefectures in Japan.

The discussion includes the potential and challenges faced by Japanese investors in running their businesses in Indonesia.

"The Indonesian government is committed to continuing to maintain good relations with the Japanese government and also to support the Japanese Business Federation which has contributed a lot to increasing investment in Indonesia," he stressed.

Meanwhile, Kabinoki congratulated Airlangga on the award from the Emperor of Japan and appreciated Indonesia's contribution to bilateral cooperation.

He also hopes for continuous support from the Government of Indonesia for Japanese companies that have invested in Indonesia.

"We hope that the Indonesian government will continue to support Japanese companies investing in Indonesia," said Kabinoki.

Keidanren also expressed support for Indonesia's efforts to join as members of OECD and CPTPP, and is ready to cooperate with the Japanese Government to strengthen Indonesia's position in the two forums.

Japan is listed as the sixth largest foreign investor in Indonesia until 2024, with an investment value of US$3.46 billion out of 12,823 projects.

The investment is widely spread in the motor vehicle sector, transportation, chemical and pharmaceutical industries, to medical instruments.

The five main provinces receiving Japanese investment include West Java, DKI Jakarta, East Java, Central Sulawesi, and Central Java.