Jakarta, mpi-update. Real Estate Indonesia (REI) expects the government to provide investment certainty in the property industry, following expectations of improving this sector in 2017.
Vice Chairman of the Division of Communication and Business Development REI, Theresia V.Rustandi when contacted in Jakarta on Thursday, expressed the certainty of investment is needed by the developers in running the business.
“Do not let the existing permissions and then drawn again, then no trust,” he said.
He gave an example, the reclamation project in the bay of Jakarta , With today’s conditions, he asked the government to immediately resolve the licensing issue.
“We are seeing better than Intiland first tidied everything. If it is okay, then run again because of the certainty it was very important, “said Theresia who also served as Corporate Secretary of PT Intiland this.
The growth of the property industry in 2016 still recorded stagnant. Nevertheless, a number of both domestic and foreign investors are still many who put their funds in Indonesia. The condition indicates a highly prospective property sector.
From the demographic middle class is very nice coupled with stable economic growth.
property sector is expected to further grow as investment certainty which is supported by the application of a number of rules such as mortgage interest rates are low, property ownership foreign, Real Estate Investment Trusts, as well as the Tax Amnesty.
“We are projecting the property sector to grow in the range of 10-12 percent in the next year. It was still a conservative figure, “said Therese.
Data Investment Coordinating Board noted, during the first half of 2016 the realization of investment in the housing sector, industrial estates and office reached Rp3,56 trillion for domestic investment and 944.4 million US dollars to foreign investment.
All of these investments are spread on 713 projects. This value is outside the construction sector with the value of each Rp8.5 trillion for domestic investment and 56.7 million US dollars for foreign investment.
Certainty investment into one of the concerns of potential investors who would place the funds in Indonesia. Moreover, Indonesia regularly performs well in the pattern of investment cooperation between the government (government to government) and between businesses (business to business).
The latest is visiting Dutch Prime Minister Mark Rutte to Indonesia, which brought 200 entrepreneurs. In a press conference at the State Palace, Wednesday (23/11), President Joko Widodo and Rutte agreed that the two countries will strengthen cooperation with the other in trade, investment, water management and infrastructure.
After the meeting with the President, the next night, Rutte then met with Indonesian counterparts under the auspices of the Chamber of Commerce and Industry. In the meeting also agreed on a wide range of cooperation “business to business” between Indonesia and the Netherlands.
Head of Investment Banking and Business Development of the Eastern Region Chamber of Commerce, Reza V. Maspaitella declare Netherlands have great confidence against Indonesia in cooperation in the economic field.
that confidence comes after President Jokowi raises a number of policy packages and eradicate the practice of extortion in ministries and state institutions. (Ant.)
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