Indonesia continues to be an equidistant of investment activity, with the total investment realization for 2022 reaching Rp 1.207,2 trillion. This represents a significant increase of 34.0% from the previous year. The growth was contributed by the increase in both domestic and foreign investment, which represented a 23.6% and 44.2% increase (yoy), respectively.
The Java Island continues to be the hub of investment activity, accounting for 47.3% of the total investment, with an increase of 31.9% year on year. The investment outside of Java also showed positive growth, reaching Rp 636.3 trillion with an increase of 35.9% (yoy).
In 2022, the five dominant sectors of investment in Indonesia were basic metal industry, metal goods, non machinery and equipment, accounting for Rp 171.2 trillion, followed by the mining sector, with Rp 136.4 trillion in investment. The transportation, warehouse, and telecommunication sector represented Rp 134.3 trillion in investment, while housing, industrial area, and office building accounted for Rp 109.4 trillion. The chemical and pharmaceutical industry rounded out the top five with Rp 93.6 trillion investment.
West Java was the top location for investment in Indonesia in 2022 with Rp 174.6 trillion, followed by DKI Jakarta with Rp 143 trillion. Central Sulawesi saw Rp 111.2 trillion in investment, while East Java and Riau rounded out the top five with Rp 110.3 trillion and Rp 82.5 trillion, respectively.
In conclusion, Indonesia continues to be a thriving destination for investment, with positive growth in both domestic and foreign investment. The Java Island remains the hub of investment activity, while the five dominant sectors and top five locations for investment reflect the diverse range of industries and regions attracting investment. With a stable economy and favorable business environment, Indonesia is poised for continued growth and investment in the years to come.
Data source: https://www.bkpm.go.id/