Indonesia's investments up 27 percent in Q1

Indonesia's investments up 27 percent in Q1

2011-05-25 07:18:55 GMT+7 (ICT)

JAKARTA, INDONESIA (BNO NEWS) -- Indonesia's investment numbers rose by 27 percent during the year's first quarter, compared to 2010, government officials said Tuesday.

According to Indonesia's Capital Investment Coordinating Agency chief, Gita Wirjawan, the increase has been pushed by both local and foreign investments, Antara news agency reported.

French investment alone reached $5.2 billion during the first quarter, Gita noted, stating that it has mostly gone into Indonesia's mining sector, while South Korea's Po Hang Steel Company is set to invest an additional $6 billion in mining and steel production.

Po Hang Steel Company has established cooperation deals with Indonesia's PT Krakatau Steel, which would increase production capacity by 6 million tons in Krakatau Steel's operations in Cilegon, Java.

In 2010, Indonesia had investments worth Rp208.5 trillion ($24.4 billion), of which 20 percent went to the mining sector. The remaining 80 percent was spread in various sectors, such as manufacturing, agriculture, and services.

The year's first quarter investment indicates Indonesia's constant economic growth, as investment in the Southeast Asian country in 2010 had already significantly increased by 54.2 percent compared to that in 2009.

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