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View all search resultsThe law states that all business sectors are open to foreign direct investment (FDI) as well as domestic direct investment (DDI), with the exception of six prohibited sectors and businesses that can be carried out by the government.
Indonesia’s Job Creation Law may facilitate investment and help revive the economy, but relaxed environmental regulation and widespread protests by labor unions could discourage foreign investors and limit the law’s benefits, Moody’s Investor Service has said.
The recently passed Job Creation Law is expected to boost foreign investment into the country but risks of environmental destruction and a lack of skilled labor could deter potential investors, experts and foreign investors have said.
Investment Coordinating Board (BKPM) data show that foreign direct investment (FDI) realization fell by 6.9 percent year-on-year (yoy) in the second quarter to Rp 97.6 trillion (US$6.7 billion) as the pandemic hit the global economy.
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