VIVAnews - Foreign direct investment to Indonesia is figured to decrease by US$4 billion in 2009 compared to last year.
"If it is concerned with portfolio investment, it won't be a problem. The problem is that the foreign direct investment is not yet optimal." said Chairman of the Indonesian chamber of commerce MS Hidayat on Thursday, September 3.
In 2008, the foreign direct investment reached around US$14 billion. This year, it is predicted to fall to US$10 billion.
"Last year, there was a bit outflow, which was deemed normal," he said.
This year, Hidayat added that the investment realization will dominantly occur in mining, automotive and footwear sectors. "Mostly in mining sector. As for automotive, India and Germany will enter. Meanwhile, footwear is from Taiwan," he said.
Other investment potentials are in line with labour intensive sector. "Unfortunately, manufacture industry does not require many employees today as they have been replaced by machinery," said Hidayat.
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Translated by: Bonardo Maulana Wahono
