Investment Minister: Downstreaming for Equitable Investment
Industrial downstreaming, which is a form of economic transformation in Indonesia, aims to provide benefits and added value to various levels of society, Minister of Investment Bahlil Lahadalia has said.
He made the statement at the 2022 Investment National Coordination Meeting (Rakornas) with the theme “Downstreaming and Partnership for Equitable Investment”, Wednesday (11/30) in Jakarta.
“Downstreaming is not only to benefit investors but also to collaborate with regional entrepreneurs and MSMEs [micro, small and medium enterprises] to grow together,” he said.
He emphasized that, in line with the directive of President Joko “Jokowi” Widodo, the Government will continue its downstream policy despite challenges, one of which is the European Union lawsuit filed to the World Trade Organization (WTO).
“This policy, even though we are under pressure, will still continue despite all challenges including with the WTO,” he said.
On that occasion, Bahlil also said that there had been an increase in investment outside Java Island in line with the massive infrastructure development carried out by the Government.
“From the third quarter of 2020 to the third quarter of 2022, the majority of [investments] are outside Java Island. In fact, now more foreign direct investments are carried out in Palu, North Maluku, Sumatra, especially Riau province,” he said, adding that in 2021 Singapore became the number one investor in Indonesia, followed by Hong Kong, China and the United States.
“The United States, which in the last four years has never ranked 4, is now on the list. This all happened because of the President’s directive which stated that the Government should not give privilege to only one particular country. Instead, we should treat all countries equally as long as they follow our laws and regulations,” he said. (MAY/UN) (EST/LW)