Investment Realization, A Breath of Fresh Air for Development

The government has set a target for investment realization in 2025 of IDR 1,905.6 trillion, an increase of 11.14 percent compared to the previous year. As of the first quarter, the target has been achieved by 24.4 percent.

Investment Realization, A Breath of Fresh Air for Development
Photo by Ammar Andiko / Unsplash

The government has set a target for investment realization in 2025 of IDR 1,905.6 trillion, an increase of 11.14 percent compared to the previous year. As of the first quarter, the target has been achieved by 24.4 percent.

Amidst global turmoil following the pandemic crisis, Foreign Direct Investment (FDI) in Indonesia contributes equally with Domestic Investment (DDI). Although the proportion of foreign investment in the first quarter of this year was not as large as in the fourth quarter of last year, this portion is enough to provide fresh air for investment growth in Indonesia.

In the early quarter of 2025, FDI investment reportedly increased by 12.7 percent with a value of IDR 230.4 trillion. Meanwhile, DDI investment grew 19.1 percent with a value of IDR 234.8 trillion.

The Basic Metal Industry, Metal Goods, Non-Machinery and Equipment sector, the Transportation, Warehouse and Telecommunications sector, and the mining sector are sectors that consistently support the realization of FDI and DDI investments.

When viewed by location, the realization of both types of investments is mostly located in DKI Jakarta, West Java, East Java, Central Sulawesi, and Banten, respectively.

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