Jakarta. President Susilo Bambang Yudhoyono says Indonesia is now the ninth-most popular country in terms of global investment destinations, because of its resources and sizable consumer market.

“Why are we being monitored by the global economic community as a country with great opportunities for investment? The first reason is because of our potential and the growth of our market.”

“Apart from that, it is access to our natural resources and the quality of our workforce,” Yudhoyono said in a speech marking the opening of the Chamber of Commerce and Industry (Kadin)’s annual gathering in Jakarta on Friday.

Yudhoyono added that the reasons for investing in Indonesia were obvious and that competition was imminent. He also recommended that, because of this, local business players should be ahead of their foreign counterparts.

“[Local businesses] must become hosts in their own country,” Yudhoyono said.

Source :  The Jakarta Post – 1 April 2011

Jakarta. Investors from five countries have shown interest in the natural gas resource of South Sumatra. The province reportedly has the potential to generate up to 1,911 mega watts of electricity from six different areas containing geothermal energy.

South Sumatra Investment Agency chief Permana said that the five countries were Turkey, India, the US, Canada and Italy. At least three energy companies have undergone the tender process for the utilization of South Sumatra geothermal energy.

“We will accept [the company] that offers the best and highest offer,” he added on Wednesday.

According to Permana, natural gas resources are just one of a number of local resources on offer to foreign investors, adding that they possess the skills and resources to process natural gas.

The natural gas, however, must still be sold to state electricity utility PLN to fulfill the local need for energy, Permana said, as reported by kompas.com.

Source : The Jakarta Post – 30 March 2011

Skyline of Jakarta's Central Business District

Jakarta. Twenty Spanish companies are ready to invest in Indonesia`s energy, electricity, transportation, telecommunications, infrastructure and manufacturing sectors, a minister said.

“They seriously intend to invest in Indonesia after they had studied the good investment prospects in the country as reflected by consistent economic growth,” Coordinating Minister for Economic Affairs Hatta Rajasa said after chairing a coordination meeting on a state enterprise rightsizing program here on Thursday.

The plan to invest in Indonesia surfaced when Spanish State Secretary of Foreign Trade Alfredo Bonet, along with a Spanish business delegation, held bilateral talks with officials of the Indonesian Trade Ministry a few days ago, he said.

To enhance bilateral cooperation, the Spanish government and businessmen wanted the two countries to revise a number of agreements in the investment sector to ensure that the strategic partnership could be implemented well, he said.

Data from the Trade Ministry show two-way trade between Indonesia and Spain reached US$2.18 billion in the January-November 2010 period, a 12.6 percent increase compared to US$1.94 billion in the same period the year before.

Indonesia recorded a surplus of US$1.62 billion in its trade with Spain in the January-November 2010 period, up 9.60 percent from the same period in the previous year when the figure was US$1.48 billion.

Last year Spain ranked 14th as the destination of Indonesia`s exports. Indonesia`s exports to Spain included copper ores and concentrates, coal, briquettes, palm oil, natural rubber, industrial monocarboxylic fatty acids, video recording or reproducing apparatus.

Meanwhile, Indonesia imported aircraft (helicopters, aeroplanes), unwrought aluminium, new pneumatic tyres, transmission apparatus for radiotelephony, acyclis hydrocarbons, medicaments, and cigarette paper from Spain.

Source: ANTARA News – 3 March 2011

Palembang, capital of the South Sumatra province, glitters with lights radiating away from the Jembatan (Bridge) Ampera.

Palembang, South Sumatra. Canadian businessmen have become interested in investing in South Sumatra because of its big potentials and opportunities.

Canadian Ambassador to Indonesia Mackenzie Clugson, and an entourage in a meeting with the South Sumatra Chamber of Commerce and Industry (Kadin) here on Tuesday said that the investment climate in the province was very promising.

The meeting was attended by South Sumatra Kadin chairman A Rizal, Assistant for People`s Welfare of the S Sumatra administration dr Aidit Aziz and some other officials.

He said the licences and permits issued by the S Sumatra administration are also very good, which made them become so interested in making an investment in the province.

In the meantime, he added, the Canadian companies already engaged in investment in the province need to be developed and promoted.

Dr Aidit Azis said that investment opportunities in the area are very good in view of its very large natural resources.

He said that South Sumatra is very rich in oil, gas and coal, which would provide ample opportunities for investment.

The S Sumatra Kadin chairman said he will bridge foreign businessmen including those from Canada to come and invest in the area.

Source: ANTARA News – 2 March 2011



Indonesian President SBY discusses with Cypriot Foreign Minister Markos SP. Kyprianou issues pertaining to efforts to strengthen bilateral relationship and cooperation, as well as on exploring new opportunities. In 2010, trade volume between Cyprus and Indonesia reached US$ 18,125 million. Additionally, realized Cypriot investments in Indonesia reached the value of US$ 10,597 million.

Jakarta. Indonesia and Cyprus were preparing an agreement on tourism to support both countries’ plan to cooperate in the sector, Indonesian Presidential spokesman Teuku Faizasyah said here on Wednesday.

The spokesman made the statement after Indonesian President Susilo Bambang Yudhoyono met with Cyprus Foreign Minister Markos SP.Kyprianou at the State Palace.

He said that both sides now were preparing a Memorandum of Understanding in the tourism sector to support the cooperation.

“We note that they have been interested in cooperation in the tourism sector,” said Faizasyah,

During the meeting, the economic issue was also discussed, he said.

Indonesia targets 7.7 million foreign tourist arrivals this year after the country exceeded foreign tourist arrivals of 7 million people last year. The government expected them to spend 8. 4 billion U.S. dollars this year, higher than that of last year at 7.6 billion U.S. dollars.

To boost the arrival, Indonesia needs to step up cooperation with more countries.

The number of foreign holiday makers visiting Bali, the center of the country’s tourist industry, rose by 16.81 percent to 208, 300 in January, year on year, the Statistic Bureau announced on Tuesday.

The Indonesian tourism industry has recovered from the impact of terrorism, and epidemics.

Source: Xinhua – 2 March 2011
Photo: Presidential Palace

Jakarta. Indonesia and Cyprus discussed efforts to strengthen their partnership during Cypriot Foreign Minister Markos Kyprianou`s meeting with his Indonesian counterpart Marty Natalegawa here Tuesday.

Marty told the press after the meeting, Kyprianou`s working visit to Indonesia showed his country`s eagerness to develop its partnership with Indonesia.

“We discussed efforts to improve our bilateral relationship between, especially to strengthen our partnership in trade, tourism and investment,” Marty said.

Cypprus`s seriousness in wishing to have closer relationship with Indonesia was proven by the fact that Cyprus had posted an ambassador in Jakarta since January 2010.

“I told Mr Kyprianou about our domestic conditions in relation with our position as the chair of ASEAN, and he also briefed me about his country`s involvement in the European Union,” Marty said.

At their meeting, the two foreign ministers also agreed that their two countries should conclude Merchant Shipping and Double Taxation Avoidance agreements that would open wider opportunities for bilateral economic cooperation and trade.

The two foreign ministers then signed a Memorandum of Understanding (MoU) on bilateral consultations which would be the basis for the implementation of regular bilateral consultations.

The Cypriot foreign minister on the occasion presented via Marty a post-disaster donation of 50,000 US dollars to Indonesia.

At the meantime, Kyprianou said he appreciated Indonesia`s positive response to his country`s wish to strengthen its bilateral partnership with Indonesia.

“I hope this partnership will work well, so that both countries can cooperate fruitfully in various sectors,” Kyprianou said.

Source: ANTARA News – 1 March 2011
Photo: Ministry of Foreign Affairs, Republic of Indonesia

Construction of the new Wolter Monginsidi Airport will support plans to develop Mamasa's tourist industry.

Mamuju, West Sulawesi. Tourism potential in Mamasa district, West Sulawesi province, will be optimized to support regional revenue, Mamasa district head Obed Negodepparinding has said.

“Mamuju as a tourist destination in West Sulawesi has a major advancement that must be supported by all parties here,” Obed Negodepparinding said here on Monday.

With Mamasa district chosen as a regional tourism development in West Sulawesi this year, Obed said intensive promotion would be made both at national and international levels.

“We are going to intensively promote the tourism potential in the district in a bid to attract as many domestic and foreign tourists as possible,” Obed said.

Therefore he hoped the government would provide financial assistance for the development of supporting infrastructure facilities in Mamuju.

“With the financial assistance from central and provincial governments we can build tourism supporting infrastructures such as road access to the tourists areas,” he added.

Mamasa district has a number of tourist attractions such as Mamasa Valley which is also referred to as West Tana Toraja and is known for its traditional ceremonies and local handicrafts.

He said the Mamasa Valley could be best explored on foot by the visitors to enjoy the scenery and views at a slow pace.

The surrounding countryside is nothing short of idyllic and if the visitors are planning to travel any distance, it makes sense to hire a motor cycle or car to enjoy the view of Mamasa Valley and the attractions of the Gunung Mambulilin mountain peak, the hot springs at Kole, village life in Loko, the cascading waterfall of Mambulilin Sarambu, and the jungle walks around Taupe.

“No wonder tourism in Mamasa has a great potential to increase the regional revenue to raise the local people`s welfare,” Obed said.

Source: ANTARA News – 22 February 2011

Sunset in Balikpapan, East Kalimantan.

Jakarta. The government is committed to expanding Indonesia`s tourism market in Asean countries such as Thailand, Vietnam, and the Philippines.

“This year we will start to expand our tourism market to Thailand, Vietnam, and the Philippines,” deputy director for Asean region at the culture and tourism ministry Chrismiastutie said here on Tuesday.

According to her, the three Asean countries were considered potential for Indonesian tourism market in Asean after Singapore and Malaysia.

Especially for the Philippines, she expressed optimism that the number of tourists from the country to visit Indonesia would increase by 210,000 this year.

“We have made tourism promotion for several time last year in the Philippines so we are optimistic that around 210,000 tourists from the country will visit Indonesia this year,” she said.

But she added that the number of tourists from Thailand and Vietnam would not probably be big enough.

“It is because the people of Thailand are not eager to travel very much,” Chrismiastutie said.

However, she was optimistic to be able to net tourists from the two countries to visit Indonesia.

Therefore she would apply four marketing strategies, namely to participate in the exchange of tourism, to be active in sales mission, to support Indonesia festival, and to optimize Visit Indonesia Tourism Office.

She said that the Culture and Tourism Ministry this year has an agenda of 75 promotion events abroad with 17 activities in Asean countries, 18 in Asia, 13 in Europe, and 12 in the Middle East.

“The Asean tourism market is very potential because there has been an agreement among Asean tourism ministers about Asean for Asean, and if it is implemented, it will be very good for our tourism sector,” she said.

According to her, the gateways for Asean tourists in Indonesia are Bali, Jakarta, Batam, and Bandung.

Sumber: ANTARA News – 22 February 2011

Jakarta. Indonesia as one of the world`s largest maritime countries has about 5.8 million square kilometers of marine territory and 92,000 kilometers of beach and coastal strips, second only after Canada.

As around 70 percent of Indonesia`s territory consists of water, it is but logical if Marine Affairs and Fisheries Minister Fadel Muhammad has the ambition of making Indonesia one of the world`s biggest fish producers.

For 2011, the ministry has set its fishery production target at 12.26 million tons, or an increase of 13 percent from 10.85 million tons in 2010. Indonesia`s fish production in 2009 was 9.82 million tons.

Speaking in a discussion on “The Fishery Outlook 2011″ held in Jakarta early February 2011, the minister said the government has set a target of fishery production at 22.39 million tons by 2014, while aquaculture 16.86 million tons.

This year, the volume of aquaculture production is expected at 6,847,500 tons, the number of quality fingerlings is 4.2 billion, and seaweed seedlings 350,420 tons.

To support the target, the government has developed adequate infrastructure and facilities for aquaculture activities in some 116 districts/cities, according to data from the ministry. The areas include 70 brackish areas, 116 fresh water, and 81 coastal areas.

Indonesia earned 2.66 billion US dollars from its fish exports in 2010, an increase of 8.05 percent from 2.46 billion US dollars in 2009.

The ministry has set a target of fish export value at a total of 3.2 billion US dollars in 2011.

The 2008 exports of fisheries products reached US$2.6 million, said the ministry`s Overseas Marketing Director of the Ministry of Marine and Fisheries Affairs Saut P Hutagalung early last year.

According to Hutagalung, his ministry still applied previous export marketing policy which included maintaining Indonesia`s traditional export markets in the United States, Japan and the European Union.

The government also planned to expand the export markets to potential regions such as the Middle East, Central Asia, Africa and Eastern Europe, he said.

Last year, Indonesia was ranked 11th on the list of the world`s fishery exporter countries.

“Indonesia`s market share in the world`s fishery exports accounts for 1.74 percent of the world`s total fishery exports,” Djoko Purnomo, head of the fishery export affairs of the Trade Ministry`s Directorate General of External Trade, said last May 2010.

The country`s fishery exports were dominated by shrimps, followed by frozen fish, fresh fish, fillet, and fish.

While, among major exporter provinces include East Java, Jakarta, North Sumatra, Lampung, Central Java, South Sulawesi, Bali, Maluku, North Sulawesi and Central Sulawesi.

According to an estimation, the biggest fish exporting country in 2007 was China with 11 percent, followed by Norway seven percent, and Thailand six percent, while Indonesia with only two percent in 2007, ranking only the 12th in the world`s fish exports.

The latest data on global fisheries and aquaculture could be found in “The State of World Fisheries and Aquaculture 2010″ report which was published coinciding with the opening of the 29th session of the UN Committee on Fisheries which held at the FAO`s headquarters in Rome, early February 2011.

According to the report, aquaculture was dominated by production from the Asia/Pacific region, accounting for 89% of global production and 79% in terms of value.

The UN`s latest report also shows global consumption of fish has hit a record high, reaching an average of 17kg per person.

Fisheries and aquaculture supplied the world with about 145m tonnes in 2009, providing about 16% of the population`s animal protein intake, the report said as quoted by BBC news recently.

As a country having huge marine resource potential, the livelihoods of the majority of the Indonesian people are related to the fishery sector.

Therefore, Marine Affairs and Fisheries Minister Fadel Muhammad recently reminded that the production increase should also be followed by a rise in fish consumption.

The ministry said in a press statement early February 2011 that Indonesia`s fish consumption in late 2010 reached 30.47 kg per capita annually, an increase from 29.08 kg per capita in 2009.

The People`s Coalition for Fishery Justice (Kiara) Secretary General M Riza Damanik was of the view that the government needed to set a quota of nine million tons of fish both for domestic consumption and for industry alone.

The nine million tons should consist of 6 million tons for domestic consumption and 3 million tons for fishery industries at home to meet their need for raw materials, he said in September 2010.

Data of the Ministry of Maritime Affairs and Fisheries showed that in the 1998 – 2008 period fish consumption of domestically produced fish increased 25 percent.

The standard of fish consumption based on the Food and Agricultural Organization (FAO) is 30 kg per capita per year, according to him.

In Indonesia which has a population of over 220 million, fish consumption per capita per year has reached 30.17 kg.

The NGO activist regretted the fact that at present people in Indonesia still consumed beef more than fish due to the high rate of meat imports from other countries, including Australia.

According to GreenFact website, in 2006 the global production from fishing and aquaculture combined reached approximately 144 million tonnes, of which 110 million were for human consumption worldwide.

Source : ANTARA News – 16 February 2011

Speaking after a BI board of governors` meeting here Friday, BI Governor Darmin Nasution said exports were still high in line with global economic recovery while imports were also increasing, especially imports of capital goods needed to support increase of economic capacity.

“With the development of current accounts in the first quarter is predicted to still record a quite big surplus. Capital and financial transactions are also predicted to record quite a big surplus, supported by direct investment capital inflows,” he said.

The Indonesian balance of payments in the first quarter is also predicted to record a big surplus.

The country`s foreign exchange reserves until January 31 were recorded at US$95.3 billion, enough for 6.3 months of imports and government foreign debt repayment.

The rupiah exchange rate declined at an average of 0.1 percent in January to Rp9,034 per US dollar, which was believed to be temporary as Indonesia`s fundamental economic factors remained strong as had been assessed by Moody`s that has raised the country`s credit rating to Ba1 with a stable outlook.

Source: ANTARA News – 4 February 2011
Photo: Bloomberg