Indonesia invests $80 billion in manufacturing

The government has targeted $80 billion in foreign and domestic investment in the manufacturing sector in the next five years, according an Industry Ministry official.

“We are optimistic that the figure will be achieved thanks to the fact there have been several large-scale investment projects in this sector that have been running well,” Industry Ministry Secretary General Anshari Bukhari said on Sunday.

He said the $80 billion investment target was expected to provide jobs for at least 3.2 million workers. That investment included the integrated steel factory being built by state-owned steel firm Krakatau Steel and South Korea’s POSCO. That project is estimated to cost $6 billion, the report said.

Other large-scale projects in the petrochemical and cement sectors involve investment worth trillions of rupiah,” he said. “If the development of the oleochemical project in Sei Mangke is running well, the target of $80 billion will be achieved,” he said.