Investors from Singapore and Malaysia dominated
foreign investment in North Sumatra although investors from China are also very
interested to invest this this province. This issue was brought up by the Head
of Investment and Promotion Board for North Sumatra - Indonesia, Purnama Dewi.
From the total
realization of Foreign Investment (PMA) on first quarter 2014 IDR 1.286
trillion (USD 110.5 million), Singapore had been contributing to 47% and
Malaysia with 20%. The rest are Thailand, Taiwan, South Korea, Hong Kong,
England and several other countries, Purnama Dewi said in Medan on Tuesday.
“Although
Singapore and Malaysia are dominating, but investors from other countries such
as China are regularly seeking for investment opportunities in North Sumatra,”
Purnama Dewi said.
Investors from
China are interested in industries and service sectors such as highway and
energy infrastructures development,” she said.
They also expect
for domestics investors to realize domestic investment (PMDN) although the
value will be relatively smaller than foreign investment.
The realization of
PMDN for first quarter 2014 is IDR 559 billion (USD 48 million) or almost 50%
from the PMA value.
According to the
Secretary of Employers Association (Apindo) North Sumatra, Laksamana Adiyaksa,
Investors from North Sumatra prefers to expand their business than realizing
new investment as the permit is easier.
He also admitted
that business owners also prefer to invest in service sector due to the
promising market.
“We hope that
domestic investors are supported so that the PMDN value could catch up with PMA
value,” she said.
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