Growing 16.2 Percent, Investment Realization in the Fourth Quarter of 2023 Reached Rp365.8 Trillion

Jakarta – The Ministry of Investment / Investment Coordinating Board (BKPM) noted that Indonesia’s investment realization in the fourth quarter of 2023 amounted to Rp365.8 trillion, growing 16.2 percent yoy.

“Where the fourth quarter amounted to Rp365.8 trillion yoy, it grew 16.2 percent. With employment of 457,895 people,” said Investment Minister / Head of BKPM, Bahlil Lahadalia in a press conference, Wednesday, January 24, 2024.

He detailed, the investment realization consisted of Foreign Direct Investment (PMA) reaching IDR184.4 trillion or 50.4 percent of the total investment in the fourth quarter of 2023. This realization increased by 5.3 percent compared to the same period the previous year.

Furthermore, the realization of Domestic Investment (PMDN) amounted to IDR 181.4 trillion or 49.6 percent of the total investment in the fourth quarter of 2023. This figure increased by 29.9 percent compared to the previous year.

Furthermore, Bahlil added, investment between Java Island and outside Java Island was balanced. In detail, outside Java Island has an investment share of 50.6 percent or equivalent to IDR 185 trillion in the fourth quarter of 2023. This figure increased by 12.7 percent on an annual basis (yoy).

Meanwhile, investment in Java Island amounted to Rp180.8 trillion, growing 20.1 percent yoy. This realization is equivalent to 49.4 percent of the total investment in the fourth quarter of 2023.

“So President Jokowi told us that for investment realization outside Java Island, how to design it so that it can really be moved there to create new economic growth areas and equitable growth,” he explained.

By sector, the basic metal industry, metal goods, not machinery and equipment dominated investment with a value of Rp54.4 trillion, mining amounted to Rp43.2 trillion. Then, transportation, warehouses and telecommunications Rp39.8 trillion, industrial estate housing and offices Rp31.5 trillion, and the chemical and pharmaceutical industry Rp28.2 trillion.

Based on location, West Java is the province with the most FDI and PMDN, at IDR57.4 trillion. Then, followed by East Java with Rp45 trillion, DKI Jakarta with Rp36.4 trillion, Central Sulawesi with Rp28.4 trillion, and Banten with Rp25.2 trillion.

Based on the country, Singapore is the country with the largest investment to Indonesia at USD3.2 billion. Then, China at USD1.9 billion, Malaysia at USD1.6 billion, Japan at USD1.4 billion, and Hong Kong at USD1.3 billion. (*)