RI-EU Launches Strategic Studies To Strengthen Investment

Cooperation (Photo: Antara)

JAKARTA - The Ministry of Investment/Investment Coordinating Agency (BKPM) together with the European Union Delegation for Indonesia launched a strategic study of the Attraction Plan for EU Investment in Indonesia. This is to increase investment cooperation. The strategic study was launched in Jakarta, Thursday (25/4), by the Deputy for Investment Promotion at the Ministry of Investment/BKPM Nurul Ichwan, Director of Trade, Investment and International Economic Cooperation of the Ministry of National Development Planning/National Development Planning Agency (Bappenas) Laksmi Kusumawati, and European Union Ambassador Denis Chaibi. "EUni Europe is the fourth largest foreign investment source in Indonesia in the last five years," said Deputy Nurul quoting Antara.

According to him, the opportunity to attract investment from the European Union is still very large, considering that the European Union is the second largest economy in the world and Indonesia is the largest economic power and market in Southeast Asia.

This study plays an important role in achieving our strategic investment goals and targets, as well as realizing a broader vision of Indonesia's economic development. He said the study, which was made through a partnership with ARISE+, aims to promote and attract a new wave of sustainable investment from the European Union to Indonesia. According to him, this study strategically reconciles Indonesia's competitive power and investment offers with the priorities of European Union companies in the fields of renewable energy, science, information and communication technology (ICT), electronics, the green economy, the blue economy, and smart cities (smart city).

On the other hand, EU Ambassador Denis Chaibi conveyed that the study initiated by the Ministry of Investment could attract investors from the European Union to increase the allocation of funds, as well as increase the intensity of cooperation. "This study will also strengthen efforts made by the European Union to mobilize investment in Indonesia, including through European Investment Bank and through a Team Europe approach involving financial institutions from EU member countries," he said.

According to him, in the strategic study, the entire investment framework is presented, including the main findings of priority sectors, as well as strategies that will support its implementation for the sustainability of investment in Indonesia and the European Union.

During the 2019-2023 period, investment realization from EU member countries in Indonesia reached 12.1 billion US dollars. The Netherlands became the main supplier of 8.2 billion US dollars or 68.1 percent. The three largest sectors for realization are electricity, gas and water by 23 percent, communication and logistics 16 percent, and the chemical and pharmaceutical industry 12 percent.