Australian Investors Complain About Regional Autonomy
Wednesday, 09 August, 2006 | 20:21 WIBTempo Interactive
, Jakarta: Australian investors are complaining that such matters as regional autonomy and the weak coordination among governmental institutions are the greatest obstacles as regards investing in Indonesia.
“They consider Indonesia not to be consistent in attracting investors,” said Muhammad Lutfi, Head of the Investment Coordinating Board (BKPM), after accompanying President Susilo Bambang Yudoyono during a meeting with Australian entrepreneurs at the State Palace yesterday (8/8) in Jakarta.
Another reason, Lutfi said, is the relatively short land contract that only last between around 20 and 30 years and extension processes are not automatic.
Most of the 10 Australian entrepreneurs attended the meeting were mining entrepreneurs such as those from PHP, Newmont and Santos.
Boediono, the Coordinating Minister for the Economy, Sugiharto, the State Minister of State-Owned Enterprises and Fahmi Idris, the Industry Minister, also accompanied the President.
The meeting was a follow-up to earlier discussions between the Australian and the Indonesian governments held in Sydney and Canberra last year.