"One Java Island can have 48 percent of investment, and the other 16,999 islands only get 52 percent. The number should be bigger," he remarked at the opening of the 2023 National Investment Coordination Meeting in Jakarta, Thursday.
Hence, the president called on governors, mayors, district heads, and heads of one-stop integrated services (PTSP) to increase investment outside Java. His side will also extend help for the infrastructure for areas outside Java.
According to Jokowi, investment is crucial to boost economic growth. Apart from creating more job opportunities, investment is also capable of providing large state revenues through Corporate Income Tax (PPh), Employee Income Tax, Export Tariff, and Non-Tax State Revenue (PNBP).
Jokowi emphasized that investors should be encouraged to collaborate with national and regional entrepreneurs, not only to increase dividends but also to push for equal development.
"I always ask investors to partner with national entrepreneurs and regional entrepreneurs. No matter how big the shares are, at least our domestic entrepreneurs are involved," he remarked.
Jokowi then emphasized that Indonesia should continue to improve the investment climate both on a national and regional scale, especially on land acquisition and licensing issues.
He remarked that Indonesia has, so far, only focused on marketing while attracting foreign investors. However, other crucial aspects, such as land acquisition, are ignored and investors are forced to withdraw their investment.
"It is useless to promote investment in Indonesia without paying attention to land acquisition. We promote our country for nothing if the permits need years to be completed," he stated.
He remarked that the government has targeted an investment value of Rp1,650 trillion for this year. This figure is considered to increase economic growth by 5.1-5.7 percent.
"I believe that all of our hard work will be able to complete the investment target we have set at Rp1,650 trillion," he stated.
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Translator: Maria Cicilia G P, Resinta Sulistiyandari
Editor: Arie Novarina
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