Indonesia’s Investment Competitive Power Second Lowest in the World
Monday, 14 August, 2006 | 17:05 WIBTempo Interactive
, Jakarta: Indonesia's competitive power as regards an investment country of destination is evaluated as extremely low compared to other countries in the world.
Paskah Suzeta, the State Minister for National Development Planning, has revealed that Indonesian was placed as the 59th world's investment destination country by out of 60 countries, according to the 2004World Competitiveness Report.
Meanwhile, the World Economic Forum placed Indonesia's competitive power in 74th position of 117 countries in 2005.
“The low competitive power in terms of attracting investment is affected by, among other matters, the less than conducive investment climate,” Paskah said during a speech at a seminar entitled “The Grand Strategy of Indonesian Economics” that was held by the University of Krisnadwipayana on Monday (14/8) in Jakarta.
According to Paskah, the less than conducive investment climate was caused by several factors, including the many obstacles in starting a business and the high manufacturing costs in Indonesia, as well as less than conducive manpower regulations, bureaucracy and legal certainty, plus unsatisfactory infrastructure.