Jakarta Receives Award for Achievement of Investment Realization in 2021

The Jakarta Investment and One-Stop Integrated Services (PMPTSP) Agency, received an award from the investment Ministry or the Investment Coordinating Board (BKPM) for the 2021 Investment Realization Achievement.

Alhamdulillah, the city's investment had increased in 2021 by 8.8% compared to 2020

PMPTSP Agency Head, Benni Aguscandra disclosed the award was given by BKPM to the Regional Government which had made a major contribution to the achievement of Investment Realization in Indonesia in 2021.

Based on a report issued by BKPM, Jakarta's investment from January to December 2021 amounted to Rp 103.3 trillion, consisting of the realization of foreign investment (PMA) reached USD 3.3 billion or equivalent to Rp 48.6 trillion and domestic investment (PMDN) reached Rp 54.7 Trillion.

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"Alhamdulillah, the city's investment had increased in 2021 by 8.8% compared to 2020, which was Rp 95 trillion. It has exceeded the target set by Rp 94 trillion or 109.9%. This is proof that investment performance in Jakarta is getting better," he expressed, in Kuningan, South Jakarta, as quoted by Jakarta PPID's press release, Friday (2/18).

He went on to say that BKPM recorded that there were 34,739 investment projects in Jakarta throughout 2021. The number of projects was the largest in Indonesia, followed by East Java with 16,075 projects, West Java with 13,847 projects, and Central Java with 9,723.

Meanwhile, in the fourth quarter of 2021 (October-December), the realization of investment from PMDN and PMA in Jakarta reached Rp 30.8 trillion. It was the highest in Indonesia by investment location. To attract investors, the agency has made some breakthroughs such as assistance in licensing and non-licensing related investments, facilitating meetings between potential investors and project owners through the Jakarta Investment Forum (JIF) last November, and presenting service innovations to make it easier for investors to invest their capital in Jakarta

"Ease of investing is our big concern. To boost investment, we also actively participate in other International Business Forums, including the InSight Investment Webinar Series in collaboration with IIPC Singapore and the Indonesia-Japan Virtual Business Forum (IJBF), then actively offer potential projects to investors," he concluded.

Aside that, Investment Minister Bahlil Lahadalia added the central government has been targeting the realization of investment in Indonesia for Rp 1,200 trillion by 2022. It was very important to encourage Indonesia's economic growth after being hit by the Covid-19 outbreak.

"We have started running in the first quarter of 2022, which we will release soon. So, please cooperate to diligently visit investors, we ask their problems. Don't just focus on big investments, including MSMEs because they have a large contribution of 60% to GDP," he expressed.

Biggest Investment Realization Sector

The realization of PMA and PMDN Investment in 2021 in Jakarta is based on the business sector, which is the biggest from the transportation, warehouse, and telecommunications business sector worth Rp 40.09 trillion. Then the housing business sector, industrial estates and offices worth Rp 30 trillion, the other services sector at Rp 11.28 trillion, the trade and repair business sector with an investment realization of Rp 8.78 trillion, the Hotel and Restaurant business sector at Rp 4.82 trillion, as well as other business sectors amounting to Rp 8.36 Trillion

As for the information, investment growth in 2021 is dominated by telecommunications companies that continue to record investment realization in Jakarta. Then, the development of the construction of skyscrapers in the Thamrin Nine CBD area, it is also recorded the achievement of increasing investment realization in the housing, industrial, and office business sectors. This investment growth also signifies the return of investor optimism about the investment climate in Jakarta, as well as their trust in the government in controlling the spread of Covid-19.

Meanwhile, based on the area, Central Jakarta is the Administrative City with the biggest investment realization achievement at Rp 40.589 trillion, the second position is occupied by South Jakarta at Rp 38.932 trillion, followed by West Jakarta at Rp 8.843 trillion, North Jakarta at Rp 7.848 trillion, East Jakarta at Rp 7,076 trillion, and Seribu Islands at Rp 45 billion.