Investors from India to invest US$15 billion in Indonesia

Antara News, Thursday, January 20, 2011

Jakarta (ANTARA News) - Some investors from India will invest US$15 billion in Indonesia this year, head of the Capital Investment Coordinating Board, Gita Wirjawan, said here on Thursday.

"The foreign investment from India will be realized this year. The signing of some of the agreements will be done next week," he said.

He said the Indian investors were interested in infrastructure sectors such as railway, seaport and airport development projects.

They will also enter into shipbuilding, alumina processing and coal mining, he said.

Gita did not tell about the number of the investors who would come to Indonesia but said they include Tata, Adani Group, Power and GBK.

"Usually it would take three to four years to realize investment. But they have already expressed their commitment and some of them have even signed a memorandum of understanding," he said.

According to records the total value of trade between the two countries reached US$12 billion in 2010 rising from US$9.6 billion in 2009.

Indonesia`s exports to India include vegetable oil, raw palmoil, coal, copper ore, cashew nuts, print paper, machinery and electronics, chemical products, natural rubber, balata, glass wares and pulp.

Indonesia meanwhile imports goods such as nylon, organic chemical substance, iron and steel products, purified copper, synthetic fiber and cotton.