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Foreign investment up 12% yoy in first quarter
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Looking ahead: Investment and Downstream Minister Rosan Roeslani (center) shakes hands with then-President Joko “Jokowi“ Widodo (right) after being sworn into office on Aug. 19, 2024, at the Presidential Palace in Jakarta. (AFP/Yasuyoshi Chiba)
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ndonesia has seen respectable growth in foreign direct investment (FDI) in the first quarter of 2025 as realized funding reached a quarter of the government’s full-year target, while domestic investment grew even faster.
Investment and Downstream Minister Rosan Roeslani revealed in a press briefing on Tuesday that the first-quarter FDI amounted to Rp 230.4 trillion (US$13.7 billion), which marks a 12 percent year-on-year (yoy) increase.
“This was one of the very, very good indicators, very, very positive amid – what we all could see – the increasing geopolitical and geo-economic tensions. But, Alhamdulillah [thank God], we see that the appetite of investors, be they foreign or domestic, to invest in Indonesia keeps increasing,” said Rosan.
He pointed out that the composition between domestic and foreign investment in the first quarter was unusual in that the domestic investment realization of Rp 234.8 trillion outstripped FDI.
Rosan argued that this was not because FDI had slowed down, as in fact it had risen, but because the growth of domestic investment at 19.1 percent yoy outpaced the growth of FDI thanks to Indonesians pouring lots of funds into infrastructure projects and real estate.
Total investment logged in the first quarter was Rp 465 trillion, which marks a 15.9 percent increase from the first quarter of last year.
That figure amounts to 24.4 percent of this year’s investment target of Rp 1.9 quadrillion, which Rosan said last week was on track with the target laid down by the National Development Planning Agency (Bappenas).
