BKPM: Realization Of 2020 Investment Reaches IDR 826.3 Trillion, Exceeds The Government's Target

Illustrated. (Irfan Meidianto / VOI)

JAKARTA - Head of the Investment Coordinating Board (BKPM) Bahlil Lahadalia noted that investment realization throughout 2020 reached IDR 826.3 trillion from the set target of IDR 817.2 trillion.

"This means that there is an increase of approximately Rp. 9 trillion from the target (Rp. 817.2 trillion), so there is an increase," he said in a virtual press conference, Monday, January 25.

Meanwhile, the realization of investment from January to December 2020 was 101.1 percent of the target, and grew by 2.1 percent on an annual basis or year on year (yoy).

Bahlil said that this achievement also answered the doubts of a number of parties that investment realization throughout 2020 would collapse due to the prolonged COVID-19 pandemic.

Furthermore, said Bahlil, even when the pandemic entered the country, several association groups predicted that the realization of BKPM's investment could not be more than Rp700 trillion.

"Today, Alhamdulillah, the stimulus made all BKPM laugh, and the result was Rp. 826 trillion. I need to say, life is not too pessimistic. There are problems, but do not be pessimistic," he said.

Meanwhile, the special realization in the fourth quarter of 2020 was IDR214.7 trillion, up 2.7 percent compared to the previous quarter, and up 3.1 percent from the same quarter in 2019.

In detail, the investment realization throughout 2020 is spread out into two sub-investments. First, domestic investment (PMDN) amounting to Rp.413.5 trillion or equivalent to 50.1 percent of the total investment realization.

Second, said Bahlil, foreign direct investment (FDI) worth IDR412.8 trillion, the same as 49.9 percent of last year's investment achievement.

Meanwhile, on an annual basis, the realization of investment from PMDN grew 7 percent on an annual basis (yoy) from 2019 which booked Rp. 386.5 trillion.

Based on the business sector, PMDN is dominated by the transportation, warehouse, telecommunications sector as much as 19.5 percent of the total PMDN or equivalent to IDR 20.2 trillion. Then followed by the construction sector in the amount of Rp. 19.3 trillion or the equivalent of 18.6 percent.

Then, housing, industrial estates and offices Rp. 15.5 trillion or the equivalent of 14.9 percent. Then, electricity, gas and water Rp9.3 trillion or the equivalent of 9 percent. The chemical and pharmaceutical industry was IDR 8.7 trillion or 8.4 percent, and other sectors IDR 30.6 trillion or the equivalent of 29.6 percent.

The investment value is spread over several locations, BKPM notes that the ten provinces get the most PMDN, including East Java, West Java, DKI Jakarta, Riau, Banten, Central Java, East Kalimantan, Main Sumatra, South Sumatra, and Riau Islands.

"This is the first time in history, the role of PMDN is very useful. PMDN is a pillar of defense for investment in the pandemic era," he said.