ID :
34966
Wed, 12/10/2008 - 20:38
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http://m.oananews.org//node/34966
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VP: NOW RIGHT TIME TO INVEST IN RI
Jakarta, Dec 10 (ANTARA) - Vice President Jusuf Kalla said now was the right time to invest in Indonesia as the costs were low following declines in the prices of various products such as steel.
"Now is the best time to invest. Two or three years from now, the economy will boom again," he said at an Investment Award presentation here Wednesday.
The Capital Investment Coordinating Board (BKPM) gives investment awards to heads of regions and companies that are able to make the highest investment records.
The vice president said many businessmen now even restrained themselves from investing while according to him they should even do it, adding that now was the right time for it.
He said if businessmen made an investment now they would bear lower cost of development. From the cost side making an investment now would be cheaper around 60 to 70 percent, referring to the price of raw materials that had dropped 50 percent in addition to abundant workforce with a competitive wage.
He said two or three years later when their factories had been established economy would start booming.
He said when they made an investment now the businessmen would reap the best harvest because demand for goods would soar while their companies were ready to start production.
Recalling the 1998 crisis the vice president said that at the time many businessmen also declined to make an investment and as a result they lagged behind in meeting consumers' demand when the economy was recovering.
Not only businessmen the government at the time also would not invest such as in power plant development so that it was unable to meet demand when it rose following rising economic growth.
The vice president believed in two or three years' time the world's economy would be normal again. At the time, he said, businessmen would no longer need to worry about power shortage in the country because the 10,000 megawatt power development project now still underway would be ready in 2011 and 2012.
"The world will not be in crisis forever. It will certainly revive again," he said.
The vice president also believed the country's exports would not be affected much by the current condition because most of its exports were primary materialsn which would always be needed.
He admitted that in terms of value they would drop in line with the decline in the price of commodities in terms of volume they would not drop much.
"Now is the best time to invest. Two or three years from now, the economy will boom again," he said at an Investment Award presentation here Wednesday.
The Capital Investment Coordinating Board (BKPM) gives investment awards to heads of regions and companies that are able to make the highest investment records.
The vice president said many businessmen now even restrained themselves from investing while according to him they should even do it, adding that now was the right time for it.
He said if businessmen made an investment now they would bear lower cost of development. From the cost side making an investment now would be cheaper around 60 to 70 percent, referring to the price of raw materials that had dropped 50 percent in addition to abundant workforce with a competitive wage.
He said two or three years later when their factories had been established economy would start booming.
He said when they made an investment now the businessmen would reap the best harvest because demand for goods would soar while their companies were ready to start production.
Recalling the 1998 crisis the vice president said that at the time many businessmen also declined to make an investment and as a result they lagged behind in meeting consumers' demand when the economy was recovering.
Not only businessmen the government at the time also would not invest such as in power plant development so that it was unable to meet demand when it rose following rising economic growth.
The vice president believed in two or three years' time the world's economy would be normal again. At the time, he said, businessmen would no longer need to worry about power shortage in the country because the 10,000 megawatt power development project now still underway would be ready in 2011 and 2012.
"The world will not be in crisis forever. It will certainly revive again," he said.
The vice president also believed the country's exports would not be affected much by the current condition because most of its exports were primary materialsn which would always be needed.
He admitted that in terms of value they would drop in line with the decline in the price of commodities in terms of volume they would not drop much.
