Jakarta (ANTARA News) - Head of the Investment Coordinating Board (BKPM) Gita Wirjawan believed Indonesia could achieve the economic growth target of 6.5 percent for 2012 particularly after international rating agencies have upgraded the country`s sovereign debt rating to investment grade.

"Despite concern about the lingering economic crises in Europe and the US, I am optimistic the government-set investment growth target of 6.5 percent for this year can be achieved," he said here on Tuesday.

He said the US and European economic slowdown would prompt investors to leave the regions and find other countries which had good investment prospects.

"And I believe Indonesia is among the few countries that will attract them. Indonesia`s economic indicators have surely become one of their considerations to engage in sectors that may spur domestic growth," he said.

Gita who is also the trade minister said to maintain the country`s high economic growth, the government needed to adopt policies capable of increasing exports and reducing imports.

"From the standpoint of trade balance, we can increase exports while at the same time reducing imports," he said.

He believed the Indonesian economy would pick up this year thanks to a persistent increase in the amount of investment inflows to the country.

"Both domestic and foreign investment significantly showed an upward trend in the past three years, suggesting that economic sectors are growing," he said.

The improving investment climate had increased not only the amount of investment but also the number of investment destinations outside Java. Investment outside Java currently reaches an estimated 40 percent of the overall investment in the country, he said.

The agency has predicted the value of foreign and domestic investment in the country would increase to Rp270 trillion this year from Rp251.3 trillion last year.

(SYS/S012)

Editor: Suryanto
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