KADIN CALLS FOR INCENTIVES FOR INVESTORS IN PAPUA

Jakarta, Oct 8 (ANTARA) - The Indonesian Chamber of Commerce and Industry (Kadin) said that businesses which wanted to invest in Papua should be given incentives such as tax holidays in order to accelerate growth in the region.

"It is urgent for investors willing to do business in Papua to be given incentives. If not, there will be no change in the province in the coming 10 years," Kadin chairman MS Hidayat said here on Thursday.

The Kadin chairman made the remarks on the sidelines of a function themed "Papua Investment Day".

He said the main factor in investors' reluctance to enter Papua was the fact that government attention to the incentive system in the region was not clear.

Hidayat said that Papua's geographical locations which constituted mountainous and hilly areas were factors that required investors to make comprehensive plans.

"Most areas in the regions do not yet have infrastructure so that the central and regional governments' commitment to provide infrastructure is needed," he said.

Papua is rich in potential mineral resources such as lead, bauxite, gold, coal, natural gas, crude, tin and granite as well as vast expanses of land with soil siutable for oil palm, cotton, rubber and food crops.***