Prabowo Supports Investment Growth, Targets Rp 13.030 Trillion in Five Years

JAKARTA, investortrust.id – President Prabowo Subianto met with Minister of Investment and Head of the Investment Coordinating Board (BKPM), Rosan Roeslani, at the Merdeka Palace in Jakarta on Tuesday, Feb 4, 2025, to discuss the nation's investment performance and ambitious growth targets.

Rosan presented a report on the 2024 investment figures and outlined the investment targets for the next five years, aiming for an impressive 8% economic growth before 2029.

During the meeting, Rosan reported that the government has set an investment target of Rp 13,030 trillion ($820 billion) over the next five years.

According to National Development Planning Agency (Bappenas) data, the target for 2025 is Rp 1,905 trillion, with an economic growth target of 5.3%. The 2026 target is Rp 2,175 trillion, with 6.3% growth, followed by Rp 2,567 trillion in 2027, targeting 7.5% growth.

"Our economy is expected to grow by 7.7% in 2028, with an anticipated investment of Rp 2,969 trillion, and in 2029, we aim for 8% growth with expected investment reaching Rp 3,414 trillion," Rosan said.

Rosan also reported that the investment realization for 2024 exceeded the target, reaching Rp 1.714 trillion or 103.9% of the Rp 1.650 trillion target. This investment has contributed significantly to job creation.

"Job absorption reached 2,456,130 people, an increase of 34.7% compared to the previous year," Rosan added.

Of the total 2024 investment, the largest portion was outside Java Island, accounting for 52.2% or Rp 895.4 trillion, while Java received 47.8% or Rp 818.8 trillion. Foreign direct investment (FDI) was slightly higher than domestic investment, with FDI making up 52.5% or Rp 900.2 trillion, and domestic investment (PMDN) at 47.5% or Rp 814 trillion.

Rosan further detailed that the five provinces with the highest investment realization in 2024 were West Java (14.7%), DKI Jakarta (14.1%), East Java (8.6%), Central Sulawesi (8.2%), and Banten (6.2%). The countries contributing the most to Indonesia's investments were Singapore (US$ 20.1 billion), followed by Hong Kong (US$ 8.2 billion), China (US$ 8.1 billion), Malaysia (US$ 4.2 billion), and the United States (US$ 3.7 billion).

He also reported that the contribution of investments in the downstream sector in 2024 reached Rp 407.8 trillion, accounting for 23.8% of total national investment. This includes sectors like minerals, forestry (Rp 64 trillion), palm oil and paper industries (Rp 67.1 trillion), oil and petrochemicals (Rp 23.1 trillion), and electric vehicle battery manufacturing (Rp 8.4 trillion).

During the same occasion, Rosan shared his visit to the World Economic Forum in Davos, Switzerland. According to Rosan, President Prabowo fully supported the report and expressed strong backing for efforts to increase national investments.

"The President fully supports this, as investments have a significant contribution to Indonesia's economic growth," Rosan said.

With strong policy support and high optimism, the government hopes to accelerate investment growth over the next five years, aiming to achieve the 8% economic growth target before 2029.