"With this SEZ, the government will offer various fiscal and non-fiscal incentives for businesses, including specific tax exemptions and streamlined licensing processes, to enhance the attractiveness of the Batang Industropolis SEZ as a key investment destination," he said at the SEZ's inauguration on Thursday.
According to Hartarto, investment realization at the SEZ has reached Rp17.95 trillion (over US$1 billion).
He emphasized that the Batang Industropolis SEZ is expected to drive economic growth and attract strategic investments from both domestic and foreign investors.
Spanning 2,887 hectares, the SEZ has been designed as a modern industrial hub with an integrated ecosystem that includes manufacturing, logistics, commercial, and residential zones.
Hartarto noted that the region is also equipped with integrated infrastructure, including regional roads, toll road access interchanges, raw water supply, water treatment plants, and wastewater treatment facilities.
Additional infrastructure includes raw water reservoirs, integrated waste treatment plants, gas installations, electricity supply, jetty access, 10 apartment towers, and 64 ready-to-use factory buildings.
He pointed out that other ASEAN countries are also actively developing SEZs to enhance competitiveness and attract investments.
For instance, Vietnam has four SEZs covering 1.6 million hectares, Malaysia has six SEZs spanning 2.15 million hectares, and Thailand has 10 SEZs across 622,000 hectares.
Meanwhile, the Philippines has 419 SEZs covering 70,000 hectares, while Indonesia has 24 SEZs totaling 21,000 hectares.
Of Indonesia's 24 SEZs, 12 focus on the manufacturing industry, eight on tourism, three on the digital sector, and one on other services.
Hartarto reported that total investment realization across Indonesia's SEZs has reached Rp263 trillion, generating employment for 160,874 people.
At the same event, President Prabowo Subianto reaffirmed the government's support and outlined various initiatives involving the private sector as well as domestic and foreign stakeholders.
He stated that Indonesia remains open to participation, investment, and mutually beneficial partnerships.
The Batang Industropolis SEZ is expected to enhance the competitiveness of the national industry and contribute to achieving the 8 percent national economic growth target.
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Translator: Bayu Saputra, Resinta Sulistiyandari
Editor: Anton Santoso
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