Visiting the US, President Joko Widodo Gets US$ 20.075 Billion Business Deal

Head of BKPM Franky Sibarani accompanied by Minister of Foreign Affairs Retno Marsudi delivered a press statement at Blair House, Washington D.C., on Monday (26/10) afternoon local time

The series of President Joko Widodo’s visit to the United States from Sunday (25/10) to Monday (26/10), has resulted 18 cooperations or business deals worth US$ 20.075 billion. One of business activities carried out on the visit was a gala dinner with United States Chamber of Commerce.

Head of Indonesia Investment Coordinating Board (BKPM) Franky Sibarani, in his statement with Minister of Foreign Affairs Retno L.P. Marsudi explained that there are eight deals in energy sector, one deal in conservation sector, two deals in money production, and the rest are in manufacturing industry, such as food and beverages industry, or any sector related with manufacture.

“The final process of these deals are scheduled to be done on the last one week. This is the real result from the visit of the President to the US. In the future, BKPM must ensure that the 18 business deals can run well,” Franky said to the journalists at Blair House, Washington D. C., US, on Monday (26/10) afternoon local time or Tuesday (27/10) morning Western Indonesia Time.

Besides these 18 business deals, according to Franky, there is one interesting aspect related with the development of a kind of energy contractor which is an Indonesian company that carries out outward investment in the United States.

 “I think this is also a very positive improvement. We do not only invite American investors to Indonesia but also facilitate Indonesian investors investing there,” says Franky.

The Head of BKPM admitted that some of the business deals have been signed while others have just been announced. The deals that have been signed certainly need more binding commitment so that the value of commitment can be realized faster than those that have just been announced.

However, Franky added, being announced does not mean that it is not binding in short term because some of the parties involved have done so many things. Even,  some of them have obtained principal permit from BKPM and they just wait the right time to carry out the final process.

Will be changed

On that occasion, Franky Sibarani also delivered the result of investment summit held on Monday (26/10), which was attended by three ministers and 200 businesspeople from Indonesia. This summit featured three sectors, such as Information and Communication Technology (ICT), trade and investment.

According to Franky, on the meeting, several investors questioned one or two regulations related with their investment plan; for example, there is a company that wants to produce automotive machine. In this investment, Indonesia becomes the production center, but on the process, they need to bring in recondition goods.

“Meanwhile, there is a provision in the regulation that prohibits recondition goods entering Indonesia. If these goods will be reproduced and the standard of quality is similar with the real goods, we will facilitate.This business activity has investment value, can provide job opportunities and the total temporarily reaches around 60 percent and the products are exported,” Franky said. (MMB/YM/Naster)