Indonesia Eases Restrictions on Foreign Investment

Indonesia unveils 'big bang' foreign investment package — Indonesia unveils ‘big bang’ foreign investment package

Jakarta, 4 Jumadil Awwal 1437/12 February 2016 (MINA) – Indonesia on Thursday eased foreign investment restrictions for dozens of industries in what President Joko Widodo has described as a “Big Bang” liberalisation of Southeast Asia’s largest economy, SPA reported.

Indonesia relaxed rules for international firms in various sectors, including agriculture, healthcare facilities, restaurants and movie theatres.

This was the first revision since 2014 to the so-called Negative Investment List, which spells out the sectors to which foreign investment restrictions apply, Mi’raj Islamic News Agency (MINA) quoted SPA as reporting..

Thursday’s announcement was not all about opening up Indonesia’s industries, however. Twenty sectors, including low-tech construction, were added to the list of industries with foreign investment restrictions.

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The plans are aimed at making the local industry, currently dominated by vested interests who resist changes, more competitive and efficient.

The measures are expected to arrest Indonesia’s slow economic growth witnessed over the past six years and make the economy rebound to register 5.3% growth this year. (TR07/R01)

Mi’raj Islamic News Agency (MINA)