Indonesia adopts measure to boost investment to pursue higher growth
Post Date: 11 Jun 2010 Viewed: 435
As Indonesia has built massive infrastructure projects across the nation to spur economic growth and boost economic efficiency amid some free trades, the country needs huge amount of funds to finance the projects.
The Indonesia government has targeted to achieve at least seven percent economic growth in 2014 and an annual 6.6 percent average growth by up to the year to reduce unemployment, which climbed during the global financial routs in 2008 and 2009.
The country needs over 1,400 trillion rupiah (some 151.547 billion U.S. dollars), but it only can provide over 400 trillion rupiah (some 43.299 billion U.S. dollars) and seek the rest from investors.
Indonesia's foreign direct investment rose by 41 percent to 3. 81 billion U.S. dollars in the first quarter, Investment Coordinating Board said, after the country created political stability and sound macroeconomic fundamentals, which has raised Indonesia's country risk for investment to one notch below investment grade by Fitch, and Moody investor ratings.
The board has targeted over 1,600 trillion rupiah (some 172.6 billion U.S. dollars) investment this year.
But, the country still needs more funds to support its mega infrastructure projects.