Indonesia has recorded a 19.2 per cent growth in foreign direct investment in 2015 at Rp 365.9 trillion ($26.32 billion) while domestic investment too rose by 15 per cent to touch Rp 179.5 trillion.
Five major countries accounting for majority of FDI were Singapore, Hong Kong, the Netherlands, Japan and China.
According to statistics released by the Investment Coordinating Board (BKPM), total investment realization in 2015 reached Rp545.4 trillion ($39.24 billion), up 17.8 per cent compared to last year Rp463.1 trillion and it was also higher than last year’s target of Rp519.5 trillion.
According to BKPM chairman Franky Sibarani, majority of the big investments came in the power and steel manufacturing sector.
Sibarani said, BKPM is expecting investment realization in 2016 to touch Rp594.8 trillion ($42.79 billion), up 9.05 per cent from 2015.
“Based on the realization investment in 2015 we are optimistic to achieve the targets set for 2016,” he said, at a press conference on Thursday, adding, in 2016, Indonesia is targeting FDI worth Rp386.4 trillion and domestic investments of Rp308.4 trillion.
Manufacturing sector continued to attract the majority portion of investment with 53 per cent inflows.
Some of the major projects that will kick off in 2016 are rubber company PT Synthetic Rubber Indonesia plant in Cilegon–the joint venture company of Compagnie Financiere Du Groupe Michelin and local rubber producer PT Chandra Asri Petrochemical Tbk (CAPC)–with total investment $90 million, a smelter plant for nickel in North Maluku worth over Rp 1 trillion investment and expansion of coal-gas fired in Cilegon, West Java for $350 million.