International Finance Center Built in Bali, Jakarta as a Transition Location

JAKARTA - The government is preparing Bali as the location of the Indonesia International Financial Center. However, the international financial center is estimated to take two to three years before it is fully operational.

Minister of Investment and Industrialization and Head of BKPM Rosan Roeslani said Jakarta would be used as a temporary location during the preparation period.

"The plan will be made in Bali. But it needs to be prepared for two or three years until it becomes an international financial center," said Rosan at the Presidential Palace Complex, Jakarta, Thursday, July 23.

According to Rosan, President Prabowo Subianto asked that the plan be immediately followed up after the law was approved by the DPR.

During the transition period, the government will first prepare the financial center in Jakarta. Development will then continue in Bali.

Rosan said the preparation phase includes the appointment of a governor or leader of the financial center, the area manager, as well as the formation of the necessary devices so that the institution can run.

He admitted that he had met 11 prospective investors in Bali a few days ago. They come from family offices and other investment groups.

A family office is a company that manages the wealth and investments of one or several wealthy families.

"The response has been very positive regarding the existence of a financial center that will be in Indonesia," said Rosan.

The government hopes that the financial center can attract the attention of global investors. However, Rosan has not mentioned the value of the investment, the target for starting operations, nor the special facilities that will be offered.

He also has not explained the distribution of financial center activities between Jakarta and Bali after the transition period is over.