Gov’t to Attract More Investment in Central, East Java

The Indonesian Government’s decision to accelerate development of Central and East Java is made in order to promote investment and export in both provinces, Minister of National Development Planning/Head of the National Development Planning Agency (Bappenas) Bambang Brodjonegoro has said.

“Manufacturing industries are mostly located in Jakarta, West Java and Banten. If we want to attract more investment, we need to diversify the locations,” Bambang told reporters after attending a Limited Cabinet Meeting at the Bogor Presidential Palace, West Java, Tuesday (9/7).

According to the Minister, the Government wants to ensure that it is easier for incoming investors to find their desired locations in the two provinces. “We also need to know which infrastructure is needed so that investment and export from both provinces will be smooth,” he added.

The President, Bambang continued, has also asked Central and East Java Governors to focus on developing several regions in their respective provinces so that they could attract more investment in order to stimulate export.

In the previous Limited Cabinet Meeting, Governor of Central Java Ganjar Pranowo explained a number of things that needed support from the Central Government, in particular the spatial planning regulation—especially for Brebes region—; acceleration of connectivity infrastructure in Borobudur area; and additional capacity of Tanjung Mas Port in Semarang in order to support Kendal industrial area.

Meanwhile, three main focuses of Governor of East Java Khofifah Indar Parawansa, according to the Minister, are the settlement of land dispute for oil refineries in Tuban; the development of Bromo Tengger Semeru National Park area which is still in master plan phase; and the development of Greater Surabaya metropolitan area, or commonly known as Kertasusila Gate.

The Governor expects good public transportation connectivity in the areas included in Kertasusila Gate, while Minister of Transportation has expressed the possibility of developing train-based public transportation in Surabaya and surrounding areas.

Regarding budget allocation, Bambang continued, not all of the projects will be funded by the State Budget; for example, the expansion of Tanjung Mas port was proposed to be funded by state-owned seaport operator Pelindo and private sectors. (AIT/AGG/ES)


Translated by: Galuh Wicaksono
Edited by: Mia Medyana


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