DPR asks the government to respond quickly to the letter of the China Chamber of Commerce to maintain investor confidence

JAKARTA - Member of Commission VI of the Indonesian House of Representatives Herman Khaeron asked the government to immediately respond to the official letter from the Chinese Chamber of Commerce in Indonesia addressed to President Prabowo Subianto.

A quick response is considered important to maintain the sentiment and confidence of foreign investors in the national business climate.

According to Herman, various complaints submitted by Chinese investors need to be seriously investigated, especially regarding alleged practices of corruption, extortion, and abuse of authority which are said to interfere with business operations.

"If it is the China Chamber of Commerce, then the letter is very harsh. It remains to be seen how the Indonesian government will respond," said Herman.

He assessed that the government had adequate legal instruments to investigate the issue through law enforcement agencies, ranging from the police, prosecutor's office, to the KPK.

Herman emphasized that action must be taken firmly if violations are found, including against parties in the government circle.

According to him, legal certainty is the main factor in maintaining the attractiveness of Indonesian investment in the midst of global competition.

"This eradication of corruption will be a very fundamental foundation in building public trust in the future," he said.

Previously, the Chinese chamber of commerce in Indonesia sent a letter to President Prabowo containing a number of complaints related to the national investment climate. Chinese investors highlighted the increase in taxes and royalties, tightening of export earnings foreign exchange (DHE) rules, reduction of nickel ore quotas, to excessive enforcement practices.

Chinese business actors assess that this condition has begun to disrupt business certainty and trigger concerns about the sustainability of their investments in Indonesia.