JAKARTA (17/9) - Jakarta Investment Centre (JIC) participated in the business forum in Trade, Tourism, Investment and Culture Forum (TTICF) in Bangkok, Thailand on Friday, September 16th 2022. Bringing the theme of “Green Investment Opportunity in Indonesia”, the event was conducted collaboratively by the Indonesian Embassy in Bangkok, Indonesia Investment Promotion Centre (IIPC) Singapore, and the Thailand Board of Investment (Thailand BOI).
Present in the event were Investment Promotion Director-Exhibition and Promotion Media in Indonesia Investment Coordinating Board (BKPM), Cahyo Purnomo, and Investment Potential Analyst of Jakarta Investment Centre (JIC), Leuserina Siagian. The session was moderated by the Economic Coordinator of Indonesian Embassy in Bangkok, Aji Nasution.
Indonesia and Thailand diplomatic relations have been established for more than 7 decades. In 2017-2021, Thailand has consistently been in the top 15 investors in Indonesia with an accumulated investment value of USD 1.5 billion. Indonesia is also Thailand’s 7th largest trading partner in 2022.
JIC participation in TTICF’s business forum is expected to further promote Jakarta’s trade and investment to related stakeholders and the international community in Thailand. This event will also strengthen bilateral relations of both countries in developing the ASEAN community in 2025.
Deputy Secretary General of Thailand Board of Investment, Chanin Khaochan, in his opening remarks highlighted the importance of sustainable business development. Sustainable business is not only beneficial for the world but also gives added value for the community and opens more business opportunities. Aligning with this, Thailand is giving incentives for business sectors that implement the Bio-Circular-Green (BCG) principle.
Khaochan stated that Thailand and Indonesia should be co-competitor rather than competitor in increasing investment and business growth as well as to promote Southeast Asia as the hub of a global prominent business region.
This vision was welcomed by the Investment Promotion Director-Exhibition and Promotion Media in Indonesia Investment Coordinating Board Cahyo Purnomo. Being the host of G20 this year, he stated that Indonesia is putting sustainable development in the framework for sustainable investment in the context of global economic recovery.
In supporting the Net Zero Emissions, Indonesia is committed to optimize clean energy sources and green economy while also downstreaming and industrialization of natural resources. Aligned with this, Indonesia also set the future target to robust the development of a green and low carbon economy onwards.
A shift from primary sector industry to value-added industry is becoming the focus of Indonesia’s investment priority. This is shown by banning several raw materials exports including nickel in 2020 as well as bauxite and copper commodities as the next target. Moreover, Indonesia is currently focusing on the development of the electric vehicle (EV) industry from the upstream to downstream sector.
Currently, Indonesia has 47 sustainable investment opportunities that are in pre-feasibility study that are open for investment collaboration. These opportunities span in the sector of tourism, economic zone, manufacturing industry, and infrastructure with a total of IDR 166.12 Trillion. To support this, the government provides OSS Risk Based Approach which integrates 16 sectors of investment and 18 ministries/government agencies alongside with the distribution plan of several incentives and the deduction of private sector tax.
Supporting this vision in the regional level, Investment Potential Analyst in JIC, Leuserina Siagian, presented an update regarding Jakarta's current investment landscape and projection.
“To make Jakarta a liveable city, Jakarta has created Jakarta Spatial Plan 2040 through six sectors namely an inclusive TOD and digital city development, decent and equitable housing, urban spaces, global business city, and the centre of national governance and culture,” she said.
As the biggest national economic contributor, Jakarta is also working on the progress of Net-zero Emission transition by 2050, with implementing the initiative into several priority projects development, such as: Transit-Oriented Development (TOD), Low Carbon Transport, Eco-Tourism, Waste Management, and Renewable Energy.
“We are welcoming business counterparts from Thailand to collaborate with us in realizing a more sustainable Jakarta,” stated Leuserina.