ID :
35024
Thu, 12/11/2008 - 13:14
Auther :
Shortlink :
https://www.oananews.org//node/35024
The shortlink copeid
MINISTER STRESSES NEED FOR LAW ON SPECIAL ECONOMIC ZONES
Jakarta, Dec 10 (ANTARA) - Trade Minister Mari Pangestu said a law on the country's Special Economic Zones (KEKs) was urgently needed to anticipate the impact of the global financial crisis on the national economy.
"With the existence of the Special Economic Zones there will be hope economic growth can be maintained through investment and exports," the minister said here on Wednesday.
The global financial crisis had so far not impacted on investment and exports in 2008, she said citing pertinent figures.
In the January-October period in 2008, realized foreign investment projects reached a total value of US$ 13.95 billion or were up 54 percent from the same period in the preceding year.
Domestic investment projects realized totaled Rp16 trillion rupiah or down 52 percent from the same period in 2007.
Exports in the January-October period in 2008 reached a total value of US$118.4 billion or up 26.92 percent from the same period in 2007. However, exports in October 2008 decreased by as much as 11.61 percent from the figure in September.
Therefore, she said, the impact of the global financial crisis on Indonesia's economic performance in 2009 needed to be anticipated.
"With the existence of KEKs we will have regions with exceptional qualities that will attract investors and increase the country's competitiveness in the midst of global and regional competition," said Pangestu.
She said Indonesia's strategic position had so far not been capitalized on optimally so that the great industrial migration from the developed countries to Asian countries which started in the 1990s had not benefited Indonesia much.
Having KEKs covered by a special law was part of the government's efforts to create a conducive business climate and increase the economy's manpower absorpition capacity.
"The KEK bill drawn up by the government does not only provide fiscal incentives to attract investment but also non-fiscal advantages such as simplified bureaucratic procedures, special rules on manpower and immigration, efficient services in the zones," she said.
The minister said she hoped the House of Representatives (DPR) could pass the bill into law during its third sitting in 2008-2009. The bill consisted of seven chapters and 46 articles.
"With the existence of the Special Economic Zones there will be hope economic growth can be maintained through investment and exports," the minister said here on Wednesday.
The global financial crisis had so far not impacted on investment and exports in 2008, she said citing pertinent figures.
In the January-October period in 2008, realized foreign investment projects reached a total value of US$ 13.95 billion or were up 54 percent from the same period in the preceding year.
Domestic investment projects realized totaled Rp16 trillion rupiah or down 52 percent from the same period in 2007.
Exports in the January-October period in 2008 reached a total value of US$118.4 billion or up 26.92 percent from the same period in 2007. However, exports in October 2008 decreased by as much as 11.61 percent from the figure in September.
Therefore, she said, the impact of the global financial crisis on Indonesia's economic performance in 2009 needed to be anticipated.
"With the existence of KEKs we will have regions with exceptional qualities that will attract investors and increase the country's competitiveness in the midst of global and regional competition," said Pangestu.
She said Indonesia's strategic position had so far not been capitalized on optimally so that the great industrial migration from the developed countries to Asian countries which started in the 1990s had not benefited Indonesia much.
Having KEKs covered by a special law was part of the government's efforts to create a conducive business climate and increase the economy's manpower absorpition capacity.
"The KEK bill drawn up by the government does not only provide fiscal incentives to attract investment but also non-fiscal advantages such as simplified bureaucratic procedures, special rules on manpower and immigration, efficient services in the zones," she said.
The minister said she hoped the House of Representatives (DPR) could pass the bill into law during its third sitting in 2008-2009. The bill consisted of seven chapters and 46 articles.
