Indonesia remains key destination for manufacturing investment

Several global-scale investors have expressed interest to make Indonesia their production base to meet the demand from both domestic and export markets.

Tokyo (ANTARA) - Industry Minister Agus Gumiwang Kartasasmita believes that Indonesia remains the chief destination for investment, particularly in the manufacturing industry, owing to its huge market and copious raw materials.

"Several global-scale investors have expressed interest to make Indonesia their production base to meet demand from both domestic and export markets," he had stated in Tokyo on Sunday.

He also pointed to several competitive human resources in Indonesia that give it another edge.

This is in accordance with the focus of President Joko Widodo's administration in his second term of office to promote the quality of human resources as part of the efforts to realize the vision of onward Indonesia, he noted.

Hence, he remarked that in order to create competitive human resources in tune with the industrial world's current requirements, the Industry Ministry has been aggressive in its approach to organize vocational education and training courses.

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To create a conducive investment climate in Indonesia, the government has adopted bold measures comprising streamlining licensing procedures by launching the Online Single Submission (OSS) system and providing fiscal incentives, including tax allowance, tax holiday, and super deduction tax, he elaborated.

Furthermore, the government will issue a positive list of investment in January 2020 to be stipulated in a presidential regulation, he remarked.

The positive list of investment will be applied to special economic zones (KEKs), and the government will consider providing tax holiday in line with the final positive investment list in place.

Reporter: Sella Panduarsa Gareta/Suharto
Editor: Rahmad Nasution