Indonesia attracts strong investors, MITI reaffirms investment commitment

The Minister of International Trade and Industry, Datuk Seri Mustapa Mohamed has reaffirmed Malaysia’s commitment to increase investments in Indonesia.

“Indonesia is an important trading partner to Malaysia… with Malaysia investing approximately US$ 15 billion in Indonesia from 2008-2016” says Mustapa.

This accounts for Indonesia being in the top ten trading partners of the country.

The event in Indonesia was co-hosted by Mustapa and Eko Putro Sandjojo, the Indonesian Minister in-charge of facilitating Malaysian investments into the country. Those attended include some 80 business leaders, half each from Malaysia and Indonesia collectively.

It is expected that not only Malaysia will continue to reaffirm investments into Indonesia, but many other countries as well.

Last month, rating agency Standard and Poor’s (S&P) upgraded Indonesia’s sovereign ratings to investment grade following a long awaited move that sent Jakarta equities up and spurring a wave of investments into the country.

Earlier on Tuesday, rating agency, Moody’s Investors Service has upgraded its outlook on the Indonesian banking system to positive from stable as Moody’s expects banks to see an improved operating environment over the next 12 to 18 months.

Asset quality and extended government support are key factors to both Moody’s and S&P’s upward rating.