"The President gave a direction to optimize the SEZ, which is considered to have made a significant contribution to the national economy," he said at the Indonesia SEZ Business Forum 2024 in Jakarta on Monday.
According to Parikesit, the President has also asked his staff to accelerate development and attract more investment to increase Indonesia's economic competitiveness.
That way, SEZs are expected to become the main driving force for inclusive and sustainable growth, he explained.
"We hope that the SEZs can contribute 6–8 percent to achieve the expected national growth in the next five years," he said.
He explained that SEZs could help improve the national economy; optimize industrial activities, exports, imports, and activities that produce high value-added economic products; and support the development of innovative regional development models (such as industrial areas, tourism, and trade) to create jobs.
"SEZs are also expected to boost investment, including the downstreaming of natural resources, and accelerate regional development, where SEZ is developed in the area," he added.
He informed that the cumulative realization of SEZ investment reached Rp242.5 trillion (USD1 = around Rp15,882) as of the third quarter of 2024, while worker absorption by 394 business actors reached 151,260 as of September 2024.
There are 24 SEZs in Indonesia. They include 12 industrial SEZs—Gresik, Kendal, Sei Mangkei, Arun Lhokseumawe, Galang Batang, Morotai, Palu, Sorong, MBTK (Maloy Batuta Trans Kalimantan), Bitung, Tanjung Sauh, and Setangga.
Further, there are seven tourism SEZs, namely Mandalika, Lido, Tanjung Lesung, Kura Kura Bali, Tanjung Kelayang, Likupang, and Sanur (tourism-health); two digital SEZs—Nongsa and Singhasari; and one service SEZ (MRO/maintenance, repair, overhaul SEZ) at Batam Aero Technic (BAT).
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Translator: M Baqir Idrus A, Resinta Sulistiyandari
Editor: Rahmad Nasution
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