Indonesia-China Strengthen Investment Cooperation

Illustration. (Photo: Pexels)

JAKARTA - The governments of the Republic of Indonesia (RI) and China continue to strengthen cooperation in the investment sector through the third Indonesia-Chinese Business Partnership Forum (FKB) which was held in Jakarta, Tuesday, February 21 yesterday.

Coordinating Minister for Maritime Affairs and Investment Luhut Binsar Pandjaitan explained that in terms of investment, China is the investor with the second highest value in Indonesia in 2022, reaching 8.2 billion US dollars, an increase of 156.25 percent compared to the previous year.

"Five priority Chinese investment sectors in Indonesia are metal; transportation and telecommunications; electricity, gas, and water; industrial and property areas; as well as chemicals and pharmaceuticals," said Luhut, quoted from Antara, Wednesday, February 22.

The Indonesian government is also taking a number of steps to increase economic growth, one of which is focusing on various investments.

Investasi akan fokus pada sektor yang memberikan kemampuan untuk mendukung visi Indonesia Maju 2045, misalnya industri pengolahan nikel, mobil listrik, baja, jalan tol, port udara, dan port bertaraf internasional. Selain itu, Indonesia juga akan mepriorititas industri startup, marketplace, dan pasar daring, katanya pula.

The total trade between Indonesia and China in 2022 reached 133.42 billion US dollars, an increase of 21.28 percent compared to the previous year.

Meanwhile, Indonesia's export value to China in 2022 has increased by 22.62 percent or 12.16 billion US dollars. Meanwhile, the value of Indonesia's imports from China in 2022 increased by 20.04 percent or 11.27 billion US dollars compared to the previous year.

The Ambassador of the People's Republic of China to the Republic of Indonesia Lu Kang explained that the forum which was held for the third time was important for the two countries to strengthen dialogue, expand cooperation, and plan joint development.

Since the past few years, the cooperation relationship between Indonesia and China has produced many things. From mutual trust in the political field, cooperation in the fields of economy and trade, consolidation of public opinion, and the prospect of broad cooperation between the two countries.

"This year also marks the tenth anniversary of the formation of a comprehensive Indonesian-Chingkok strategic partnership, as well as the commemoration of the initiative initiated by President Xi Jinping regarding the 21st Century Sutera Maritime Line in Indonesia," said Ambassador Lu Kang.

In addition to welcoming the results of useful cooperation in various fields that have been achieved by the two countries, Ambassador Lu Kang is also optimistic about the unlimited potential and bright prospects for cooperation between the two countries in the future.

"Let's join hands and jointly expand the points of cooperation, expand common ground, continue mutually beneficial cooperation, continue to enrich the Indonesian-Chinese community with a common future, and create more benefits for the people of the two countries," said Lu Kang.

The third Indonesia-Chingkok Joint Partnership Forum was held in collaboration with the Coordinating Ministry for Maritime Affairs and Investment together with the Secretariat of Higher Dialogue and Cooperation Mechanism (High-Level Dialogue and Cooperation Mechanism/HDCM) of the Republic of Indonesia-The People's Republic of China.

The forum is also a follow-up to the previous forums which were held on June 23, 2022, and October 14, 2022, which focused on interactive discussions between the government and Chinese business actors in Indonesia on issues specifically for cooperation faced in the Indonesia-China strategic project.