Kadin Welcomes The Ministry Of Investment, Entrepreneurs Can Be Certain From Investors

Investment illustration (unsplash)

JAKARTA - The House of Representatives has approved the proposal of President Joko Widodo (Jokowi) related to the establishment of the Ministry of Investment. The presence of this ministry is considered by entrepreneurs, as a fresh wind for investment in Indonesia.

Vice Chairman of the Chamber of Commerce and Industry (Kadin) Juan Permata Adoe said he was confident that the establishment of the ministry would provide certainty to investors. During this time, he said, entrepreneurs are often constrained by inter-ministerial bureaucratic problems. Thus, investment realization does not run optimally.

"So far the knot of relations between these ministries can never match. Because people make list investments in BKPM, once he does the regulatory investment is in the sectoral ministry. So the Ministry of Trade, Industry and Trade," he said in a virtual discussion event, Saturday, April 10.

Furthermore, Juan said that the permit in question is for the supply chain. One of them, related to the procurement of imported raw materials. During this time, said Juan, when asking permission to the ministry level, entrepreneurs not infrequently face sectoral problems. This is due to discrepancies or inter-ministerial debates.

"So all that's been an investment list is just a list. The role of BKPM is arguably not able to guarantee investors will get support from the government in the form of supply chain needs of industrial raw materials," he said.

According to Juan, the change of investment coordinating body (BKPM) to the Ministry of Investment is a good breakthrough. He said that during the New Order government, the minister of investment and investment was on one roof, because he was looking for investors to enter Indonesia.

On the other hand, said Juan, the presence of the Ministry of Investment will also arouse the passion of foreign investors to invest in Indonesia. Especially for the middle class industrial segment.

For example, the success of Chinese entrepreneurs to invest in Indonesia in the nickel sector. Juan said, this is because there is a commitment from the government in this case intervened at the ministry level, namely the Coordinating Ministry for Investment.

"The large-scale incoming investment is asking for the government's commitment. Even the signature in front of the supreme leader, the president, they just want (investment)," he said.