Italy to increase investment in Indonesia by 10 percent

"We expect to increase investment by at least 10 percent this year. Our focus is on the aviation, infrastructure, food processing, energy, and pharmaceuticals (sectors)," Former Italian prime minister Letta stated.
Jakarta (ANTARA News) - President of Associazione Italia-Association of Southeast Asian Nations (Italy-ASEAN Association) Enrico Letta is targeting a 10 percent increase in investment in Indonesia, considering that the bilateral trade value had reached US$2.5 billion last year.

"We expect to increase investment by at least 10 percent this year. Our focus is on the aviation, infrastructure, food processing, energy, and pharmaceuticals (sectors)," Former Italian prime minister Letta stated on the sidelines of the High-Level Dialogue on ASEAN-Italy Economic Relations here on Tuesday.

These sectors are important as (the return on investment) on them takes significant time, he noted.

"Investment in energy (sector) takes around 20-25 years and encompasses activities, such as drilling, exploration, and renewable energy utilization," he explained.

He admitted that Italian investment in Indonesia is small since the countrys companies lack information on investment opportunities in Indonesia.

To explore investment opportunities in Indonesia, the European House-Ambrosetti held the High-Level Dialogue on ASEAN-Italy Economic Relations in Jakarta.

"Some 450 companies from Italy have invested in Southeast Asia. The companies are ready to increase their investment in Indonesia," he remarked.

Letta pointed out that Italian trade and investment cooperation in Indonesia has huge potential.

Based on data of the Investment Coordinating Board in 2016, Italian investment in Indonesia had only reached $26.7 million, or ranked 29th in terms of foreign investment. In the first quarter of 2017, Italys ranking rose to 25th, with an investment value of $11.34 million.

In addition, Italy is in the 31st position with regard to foreign investment in Indonesia.

The first edition of the High-Level Dialogue on ASEAN-Italy Economic Relations was organized by the European House-Ambrosetti in collaboration with the Italy-ASEAN Association. The dialog was chaired by Letta.

The project is endorsed by the Italian Ministry of Foreign Affairs and International Cooperation, the Italian Ministry of Economic Development, the Italian Trade Agency, and General Confederation of the Italian Industry.

It will be the occasion to celebrate the 50th anniversary of the inception of the ASEAN that was established in 1967.(*)

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