Indonesia is your investment destination. Abundant natural resources, a young and technically trained work force and a large and growing domestic market, with an improving investment climate and a higher global profile, are just a few salient strengths. With stability firmly planted after 14 years of vibrant democratic rule, Indonesia's vast economic potential is primed for takeoff. Invest in Remarkable Indonesia.
SOUND ECONOMIC FUNDAMENTAL
- Having a GDP size of US$ 1 trillion in 2011, Indonesia is the third fastest growing economy in Asia and the largest economy in Southeast Asia.
- Indonesia's economy grew by 6.5% last year (2011) and is forecast to climb to 6.7 to 6.9% in 2012.
- In terms of fiscal and monetary conditions, Indonesia is much better than European countries as Indonesia fiscal burden lighter.
- Fitch Ratings raised Indonesia's credit rating to investment grade (BBB-) in December 2011. In addition to that, Moody's also increased Indonesia's credit rating to investment grade (Baa3). The improved credit rating is in line with the robust and sustainable economic growth in Indonesia.
- In March 2012, OECD (Organization for Economic Co-Operation and Development) upgrades Country Risk Classification (CRC) ranks of Indonesia from the previous level of 4 to 3 (from a scale of 0 to 7).
STRONGER INVESTMENT CLIMATE
- A recent 2011 BBC survey ranks Indonesia as #1 country for entrepreneurship.
- Investment law offers equal treatment to all investors and allows for the unimpeded repretriation of capital.
- Establishment of a one-door integrated service (PTSP) and a national single window for investment (SPIPISE), enhancing investment coordination an facilitation.
- Indonesia was ranked 4th as major destination for FDI, as per UNCTAD's World INvestament Prospects Survey in 2012.
ABUNDANT NATURAL RESOUCES
- The country is home to a biodiversity that is is only second to Brazil, just to mention a few. These resources provide tremendous investment opportunities. Moreover, development potential is far from saturated, particularly in renewable energy.
DYNAMIC DEMOGRAPHIC BASE
- Of the 240 million people in Indonesia, over 60% of the population is under 39 years old, providing a dynamic workforce
- Education spending accounts for 20% of total government expenditures, higher than any other sector
- Labor costs are lower in Indonesia than among the 10 ASEAN countries, and even comprared to China and India.
BURGEONING DOMESTIC MARKET
- Having the 4th largest population in the world, Indonesia has a large domestic market to offer, over 53% of which lives in urban areas and adopt a modern lifestyle.
- A growing and affluent middle class supports GDP growth with more than 50% of GDP accounting for private consumption.
- Consumer Confidence in Indonesia is at an all-time high, consistently reaching over 115 points until August 2012.
EXPANDING GLOBAL INFLUENCE
- The leading member of ASEAN, Indonesia shapes integrative approaches in the region for security, trade and commerce and will be an integral part of the ASEAN Economic Community in 2015
- Southeast Asia's only member of the G-20 and an active voice for developing world's concerns
- Part of the new grouping "Growth Markets" coned by Goldman Sachs, a grouping of four countries who each represent 1% of the total world GDP.
- Standard Chartered sees Indonesia's inclusion in the G-7 by 2030, projecting that Indonesia's economy could be the 10th largest in 2020 and the 5th largest in 2030.
- Emerging as a key player on cross-cutting policy issues such as climate change and the global financial architecture.
INDONESIA INVESTMENT COORDINATING BOARD (BKPM)
Indonesia's investment promotion agency
OBJECTIVE
As the main interlocutor between business and government in Indonesia, BKPM presents investment opportunities to members of the global business community, and provide investment related services to potential and existing investors.
FACILITY
To provide investment services to investors with a one-stop-shop approach, in an effective and efficient manner including the provision of licenses and investment facilities.
NETWORK
We have 7 overseas representative offices globally. In order to broaden its global network, 2011 BKPM had opened a new representative office in Abu Dhabi, UAE, following its 6 other representative offices that are placed in New York, Sydney, Tokyo, Singapore, Taipei, and London.
VISIT www. bkpm.go.id
Source : Leaflet BKPM RI
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