Jakarta. “The Indonesian government is currenty formulating a policy package, including in the investment sector, in the hope of loosening bureaucracy that has been considered impeding business licences,” said Vice President Jusuf Kalla in an India-Indonesia business forum today at Shangri La Hotel in Jakarta, which is also attended by the Indian Vice President Shri Mohammad Hamid Ansari and Head of the Indonesia Investment Coordinating Board (BKPM) Franky Sibarani.
Government through BKPM, Mr Kalla continued, is making every effort to shorten time investors take to apply for business permits in Indonesia. “We are confident to reduce the time taken in the licensing process from months to only 3 hours,” he firmed.
The Indian Vice President welcomed this step, including some deregulations made by the Indonesian government intended to boost economic growth. “I believe such a step will create more business cooperations between India and Indonesia,” said Mr Ansari.
To India, he added, Indonesia is not only its export destination but also its significant long-term strategic partner. India is the biggest consumer of crude palm oil from Indonesia. Besides, the country also imported a great amount of coal, minerals, pulp, and hydrocarbon from Indonesia, with the total value of USD 15 billion. India in turn exports oil refinery products, corns, commercial vehicles, and telecommunication instruments to Indonesia, with the total value of USD 4 billion.
“Both countries should make use of their ability to attract more investors essential for a positive economic growth,” Mr Ansari said.
According to him, with the big market potentials and young and skilled work force in both countries, coupled with Indian expertise in information technology and the rich Indonesian natural resources, the economic partnership of the two countries will be most possibly stronger.
In line with Mr Ansari, Mr Kalla stated that with the Indonesian trade value less than USD 20 billion, the country needs to add up more work force, market, materials, and capacity to cooperate with big developing countries like Indoa to create new market opportunities. Mr Kalla at the forum also thanked Mr Ansari as many Indians put their investment in Indonesia. He further said that in the future, Indonesian companies, particularly banks, will in turn run operation in India.
He also invited Indonesian and Indian business players to boost their relationship in a bid of strengthening both countries friendship.