Indonesia to ease curbs on foreign investment
The Indonesian government said on November 6 it will allow foreign investment in airports and ports as the government seeks to revitalise an economy growing at the weakest pace since the global recession, Bloomberg reported.
The country may also ease limits on overseas holdings in its telecommunications and pharmaceutical industries, the Investment Coordinating Board said. A report showed economic expansion slowed for a fifth quarter in a row. Gross domestic product increased 5.62 per cent in the three months ended September 30 from a year earlier, as a declining rupiah restrained investment in Southeast Asia’s largest economy.
Indonesian policy makers are grappling with a depreciated exchange rate, elevated inflation and diminished foreign capital inflows undermining President Susilo Bambang Yudhoyono’s legacy of economic stability before he steps down next year. His failure to fix infrastructure gaps in his two terms has added to price pressures, threatening his party’s chances at elections in 2014.
The government will allow foreign ownership of as much as 100 per cent on airports, airport services and ports, Mahendra Siregar, chairman of the Investment Coordinating Board, said. For ground and freight terminals, it may be as high as 49 percent, while a cap on overseas holdings in 10 other industries may be eased, he said.
Foreign direct investment into Indonesia rose 18.4 per cent in the third quarter of 2013 from a year earlier, after increasing about 19 per cent in the April-June period.
The Indonesian government said on November 6 it will allow foreign investment in airports and ports as the government seeks to revitalise an economy growing at the weakest pace since the global recession, Bloomberg reported. The country may also ease limits on overseas holdings in its telecommunications and pharmaceutical industries, the Investment Coordinating Board said. A report showed economic expansion slowed for a fifth quarter in a row. Gross domestic product increased 5.62 per cent in the three months ended September 30 from a year earlier, as a declining rupiah restrained investment in Southeast Asia’s largest economy. Indonesian policy makers...
The Indonesian government said on November 6 it will allow foreign investment in airports and ports as the government seeks to revitalise an economy growing at the weakest pace since the global recession, Bloomberg reported.
The country may also ease limits on overseas holdings in its telecommunications and pharmaceutical industries, the Investment Coordinating Board said. A report showed economic expansion slowed for a fifth quarter in a row. Gross domestic product increased 5.62 per cent in the three months ended September 30 from a year earlier, as a declining rupiah restrained investment in Southeast Asia’s largest economy.
Indonesian policy makers are grappling with a depreciated exchange rate, elevated inflation and diminished foreign capital inflows undermining President Susilo Bambang Yudhoyono’s legacy of economic stability before he steps down next year. His failure to fix infrastructure gaps in his two terms has added to price pressures, threatening his party’s chances at elections in 2014.
The government will allow foreign ownership of as much as 100 per cent on airports, airport services and ports, Mahendra Siregar, chairman of the Investment Coordinating Board, said. For ground and freight terminals, it may be as high as 49 percent, while a cap on overseas holdings in 10 other industries may be eased, he said.
Foreign direct investment into Indonesia rose 18.4 per cent in the third quarter of 2013 from a year earlier, after increasing about 19 per cent in the April-June period.
