Indonesia Gets $7.3 Billion in Foreign Direct Investment in First Quarter

By I Made Sentana Features Dow Jones Newswires

Indonesia received $7.3 billion in foreign direct investment in the first quarter, up from $6.9 billion a year earlier, government data showed Wednesday.

Continue Reading Below

The amount, which was the actual investment by foreign investors in the country, slipped from $7.5 billion in the fourth quarter.

The largest contribution to FDI came from Singapore-based investors, who put in $2.1 billion during the first quarter, followed by Japan with $1.4 billion and China with $600 million, the official Investment Coordination Board said.

The board's chairman, Thomas Lembong, said the "stagnant" growth in the foreign direct investment was partly due to the introduction of certain regulations in recent months.

"The introduction of misguided regulations have been always the number one hindrance to investment in Indonesia," Mr. Lembong said.

He added that President Joko Widodo's office has identified at least 23 new regulations--most of which are related to the manufacturing industry--that are deemed to hinder investment, despite efforts to phase out unnecessary regulations.

Continue Reading Below

Write to I Made Sentana at i-made.sentana@wsj.com

(END) Dow Jones Newswires

April 26, 2017 01:37 ET (05:37 GMT)