Indonesia’s Investment Coordinating Board (BKPM) has set up a China desk to attract more investments from the Asian economic giant. In 2015, the realisation of investment from China reached $2.3 billion or up 47% compared to 2014.

In the first quarter alone, the actual investment from China in the first quarter 2016 reached $464.6 million. Since last year, the agency has received investment commitment from China around $40.2 billion. Of this, as much as $1.2 billion has been facilitated in Q1. This year, BKPM is expecting investment commitment from China to reach $30 billion. “BKPM has set up China Desk to improve investment services for Chinese investors after setting up Korean and Japan desks. We hope our team can deliver the policies to them,” BKPM head Franky Sibarani said at a press conference. He added, the government is inviting Chinese’s investors to invest in infrastructure, agriculture, maritime, industry, tourism and economic zones.

One of the recent investments into Indonesia has been China Fortune Land Development  to develop an industrial zone on Java Island with a total investment $1.5 billion. The industrial zone will be built on 1,400 hectares land areas. The other investors from China who have announced their plans to seek a permit from BKPM are firms engaged in industries such as steel, stainless steel, information and technology, seamless pipe, furniture, construction, EPC, textiles and others. Their investment plans are estimated to reach $8.2 billion, with overall investment commitment amounting to $40.2 billion.

According to Wang Linping, Minister Counselor for Trade and Commercial Affairs, Chinese have become the third larger investors in Indonesia from fourth position last year after Singapore, Japan and Hong Kong, China.

(Source: dealstreetasia.com)