Investment in 2011 targeted to grow 27%

JAKARTA: Indonesia Investment Coordinating Board (BPKM) targeted next year investment to reach IDR203.7 trillion or up 27.2% from this years target of IDR160.1 trillion.

Deputy Head of Investment Planning in BKPM Himawan Hariyoga is optimistic that next years target can be achieved. Since the investment target of IDR160.1 trillion in 2010 was already realized as much as 93.5% or equal to IDR149.6 trillion.Until the third quarter in 2010, BKPM has recorded domestic and foreign investment realization in Indonesia amounting IDR149.6 trillion or up 33.4% from the same period last year of IDR112.1 trillion.Realized investment in third quarter of 2010 stood at IDR56.7 trillion, in which 37.7% or IDR21.4 trillion took place outside Java Island. The figure is compared with IDR5.9 trillion or up 12.9% in the same period last year.Out of IDR56.7 trillion, about 70.7% was contributed by foreign investor (IDR40.1 trillion) and 29.3% were from local investmeny (IDR16.6 trillion). However, this portion of domestic investment increased when compared with the same period in 2009 amounted 22.7%."It shows that there is no substantial improvement on investment distribution between Java and other islands and domestic investment growth. We are also optimistic the investment climate will be better in 2011," he said.(t03/wiw)