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Government offers 47 ‘sustainable projects’ worth $11 billion
Projects are spread over four sectors with the largest coming from manufacturing, followed by infrastructure, economic zones and then tourism.
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T
he Investment Ministry has put on offer 47 'sustainable projects' worth over Rp 155 trillion (US$10.83 billion) located across the archipelago, as the government aims to tap into the growing global sustainable finance market and boost the economy.
Investment Minister Bahlil Lahadalia, speaking at the launch in Jakarta on Thursday, said the projects were spread over four sectors with the largest coming from manufacturing, followed by infrastructure, economic zones and then tourism. The first three are valued at around Rp 50 trillion each, whereas the latter is worth Rp 5.78 trillion. He did not elaborate on how these projects were 'sustainable'.
He went on to say that the projects' pre-feasibility studies were already completed, and that there were double the amount of projects on offer compared with the 22 offered two years ago. The minister gave an assurance that investors only needed to focus on bringing their technology and capital.
"Let us do all of your permits," he said.
Read also: 2021 investments exceed target as new policies take shape
Indonesia relies on investment as one of the main engines for gross domestic economic (GDP) growth, hoping it will create jobs, which could boost purchasing power and consumer spending. Statistics Indonesia (BPS) data show that GDP rose 3.69 percent in 2021, driven largely by a rebound in investment.
President Joko “Jokowi” Widodo has instructed his ministers to attract more investment every year. He has set a target of Rp 1.2 quadrillion in investments this year, up by a third from Rp 900 trillion last year.
Investment Ministry undersecretary for investment planning Nurul Ichwan said the government would promote these projects through Group of 20 (G20) events and through Indonesian embassies around the world. The ministry would also upload the pre-feasibility studies online, but restrict the full content to investors that showed a serious commitment.
“We only want to share this information with investors who are serious about investing,” he said, adding that potential investors would get time limits to review offers.
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Coordinating Minister for Maritime and Investment Affairs Luhut Binsar Pandjaitan told reporters on Thursday that Indonesia had huge potential for green and sustainable investment.
He mentioned the plans to develop the electric vehicle sector in West Java, a green industrial park in North Kalimantan and the phasing-out of coal-fired power plants.
“Now, we are a ‘darling’ for those who want to invest their money. Many have come to Indonesia,” Luhut said.
