AFP, January 19. Indonesia’s foreign direct investment hit a record $ 20 billion last year, with Singapore, Japan and the United States among the Southeast Asian nation’s top investors.
The record figure comes a day after Moody’s Investors Service restored Indonesia’s investment grade sovereign credit rating, weeks after a similar move by rival ratings agency Fitch.
Indonesia, Moody’s said, had earned the bump following steps to bring down its debt-to-gross domestic product ratio as well as having a “well-managed financial system.”
Indonesia’s total investment in 2011, from both domestic and foreign sources, was 251.3 trillion rupiah ($ 27.6 billion), surpassing the government’s 240 trillion rupiah target.
Foreign investment accounted for about 70 percent of the total, adding that offshore money flows also accounted for about 67 percent of 400,000 jobs created last year in the world’s most populous Muslim nation.
Singapore led the list of foreign investors with $ 5.1 billion, followed by Japan and the United States with about $ 1.5 billion each. The Netherlands and South Korea invested $ 1.4 billion and $ 1.2 billion respectively.