Sign up | Log in



Home  >>   Daily News  >>   Indonesia  News  >>   Investment  >>   Japanese investment will continue in Indonesia
NEWS UPDATES Asean Affairs        15  March 2011

Japanese investment will continue in Indonesia

Related Stories

March 12, 2011
Indonesia projects 42 percent foreign investment increase

March 10, 2011
Indonesia cutting back on IPOs

March 4, 2011
Indonesia moves ahead on IPOs

March 3, 2011
Mitsubishi to invest $20billion in Indonesia

February 28, 2011
Indonesia invests $80 billion in manufacturing

February 25, 2011
France to increase Indonesia investments

As Indonesian businesses continue to assess the impact of the earthquake and tsunami in Japan, the country’s top economics minister sounded positive about Japanese investment in Indonesia.

Hatta Rajasa, the coordinating minister for the economy, said on Monday that Japan would continue to invest in Indonesia and that the effects of the disaster would not disrupt the domestic economy’s growth.

“Japan’s investment will continue as planned,” Hatta said.

Japan is set to begin a massive urban infrastructure development this month in Indonesia in an initiative called the Metropolitan Priority Area.

The memorandum of understanding on the project — which is worth $20 billion and will last until 2020 — was signed in December between the Japanese Business Federation (Keidanren) and the Indonesian government.

Other projects such as geothermal power plants, smelters and mass rapid transportation are also on course, Hatta said. “So far, there are no talks of delays.”

Japan is among the leaders of foreign direct investment in Indonesia, ranking third after Singapore and the United Kingdom. Data from the Investment Coordinating Board (BKPM) showed the realization of Japan’s direct investment last year reached $712.6 million in 323 projects.

Chairul Tanjung, chairman of the Indonesia Economic Committee (KEN), said Japan’s investment to help develop Jakarta would most likely be affected.

“It is likely that they will delay the investment as they are focusing on their domestic recovery. I am sure that they won’t cancel the investment, but let’s give them a chance to recover,” he said. Preliminary assessments from automotive companies and heavy equipment makers were mixed.

Arief Istanto, chief of corporate communications at Astra International, said Daihatsu’s plan to build a low-cost car factory worth 20 billion yen ($244 million) is still on course. The factory is scheduled to begin operations in 2013 and is expected to produce 50,000 cars in its first year.

“In terms of listed companies, United Tractors and Astra International could be negatively affected,” said Wuddy Warsono, an analyst from CLSA Indonesia. United Tractors is Astra’s heavy equipment arm.

“United Tractors’ Komatsu heavy equipment is produced in the affected areas. Heavy equipment represents about 40 to 50 percent of sales revenue, or around 10 percent of its earnings.

Reach Southeast Asia!
10- Nations, 560- Million Consumers
And $1 -Trillion Market
We are the Voice of Southeast Asia Media Kit
The only Media Dedicated to Southeast Asia Advertising Rates for Magazine
  Online Ad Rates

Comment on this Article. Send them to

Letters that do not contain full contact information cannot be published.
Letters become the property of AseanAffairs and may be republished in any format.
They typically run 150 words or less and may be edited
submit your comment in the box below




1.  Verifier

1. Verifier

For security purposes, we ask that you enter the security code that is shown in the graphic. Please enter the code exactly as it is shown in the graphic.
Your Code
Enter Code

Today's  Stories    15  March 2011 Subsribe Now !
 • Indonesia ready to supply Japan with fuel
Subcribe: Asean Affairs Global Magazine
 • Japanese investment will continue in Indonesia Asean Affairs Premium
• Malaysia now faces tough decision on nuclear

• Japan’s troubles affect Malaysia

Research Reports
on Thailand 2007-2008

•Textiles and Garments Industry

•Coffee industry

•Leather and footwear industry

•Shrimp industry

• More Singapore workers work past retirement

• Japanese carmakers worry about parts

• Thai exports to take quake hit

• Rising world food demand to lift exports
Asean Analysis    15   March 2011 Advertise Your Brand
• How will Japan’s disaster affect Asian economies? Sponsor Our Events
Asean Stock Watch    15  March 2011
• Japan to weigh on Asean markets
Global News Impacting Asia    17 November 2010
• Bank of America sees Asian inflation
• Lloyd’s increases insurance push in Malaysia
• Wells Fargo analyst on euro
• Obama’s visit to Asia

ASEAN NEWS UPDATES      Updated: 04 January 2011

• Women Shariah scholars see gender gap closing
• Bank Indonesia may hold key rate as inflation hits 7 percent

• Bursa Malaysia to revamp business rules
• Private property prices hit new high in Singapore
• Bangkok moves on mass transport
• Thai retailers are upbeat
• Rice exports likely to decline
• Vietnamese PM projects 10-year socioeconomic plan


This year in Thailand-what next?

04 January 2011
By David Swartzentruber      

It is commonplace in journalism to write two types of articles at the transition point between the year that has passed and the New Year. As this writer qualifies as an “old hand” in observing Thailand with a track record dating back 14 years, it is time take a shot at what may unfold in Thailand in 2011.

The first issue that can’t be answered is the health of Thailand’s beloved King Bhumibol, who is now 83 years old. He is the world's longest reigning monarch, but elaborate birthday celebrations in December failed to mask concern over his health. More

Home | About Us | Contact Us | Special Feature | Features | News | Magazine | Events | TV | Press Release | Advertise With us

Our Products | Work with us | Terms of Use | Site Map | Privacy Policy | Refund Policy | Shipping/Delivery Policy | DISCLAIMER |

Version 5.0
Copyright © 2007-2015 TIME INTERNATIONAL MANAGEMENT ENTERPRISES CO., LTD. All rights reserved.
Bangkok, Thailand