Indonesia sees FDI worth 744 trillion rupiah in 2023: investment ministry

INDONESIA recorded a total of 744 trillion rupiah (S$63.5 billion) of foreign direct investment (FDI) last year, up 13.7 per cent on an annual basis, the investment ministry said on Wednesday (Jan 24).

However, growth in the fourth quarter slowed sharply to 5.3 per cent from the same period a year earlier, compared with the third quarter’s growth of 16.2 per cent. Total FDI in the October to December period stood at 184.4 trillion rupiah.

The ministry’s data exclude investment in financial and oil and gas sectors and are reported in rupiah terms.

South-east Asia’s largest economy has seen strong FDI growth after the pandemic, particularly as investment in its nickel processing industry booms.

The base metal industry received the biggest FDI last year at US$11.8 billion, while mining was in fourth place with US$4.7 billion.

Other sectors that benefited from FDI included warehousing and telecommunications, and pharmaceutical and pulp and paper.

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Singapore, China and Hong Kong were the biggest FDI sources in 2023. REUTERS