Investment Promotion and Facilitation

Indonesia has been active in promoting and facilitating investment as part of overall investment climate reforms. This chapter examines various measures adopted by the government to reduce administrative burdens on investors such as one-stop integrated services at both central and local levels. The role of an national investment promotion and administration agency, the Indonesia Investment Co-ordinating Board (BKPM), is reviewed in the context of streamlining administration in a decentralised system. Investment incentives provided by the government are also explained, including a recently approved special economic zone scheme. The chapter is structured around the questions set out in the Policy Framework for Investment (PFI). Each section is preceded by the relevant PFI questions, which serves as general context for consideration of the main policy areas.