Based on a study on the Impact of Investment Realization on the Economy conducted by the Faculty of Economics and Business, University of Indonesia (FEB-UI), the impact of investment realization really depends on the investment area. "For investment in Java, this only has a big impact in Java. Meanwhile, if the investment is outside Java, the impact can be wider, not only outside Java but also in Java," said Dean of the Faculty of Economics and Business, University of Indonesia Teguh Dartanto in his presentation. The Impact of Realized Investment on the Economy, Monday (27/12/2021). Until the third quarter of 2021, Indonesia's investment realization performance was recorded at IDR 659.47 trillion or 73.3% of the target of IDR 900 trillion. Of this amount, the realization of investment in Java is Rp. 318.7 trillion and outside Java is Rp. 340.7 trillion. "If the investment is placed in Java, only Java will receive economic benefits because the supply chain has already taken place. But if the investment is placed outside Java, later those in Java will receive a share. So the impact is greater because Java can also support goods from Java to there. But if you put it in Java, everything is already in Java," explained Teguh.

Based on the results of the study, the overall economic impact of investment until the third quarter of 2021 reached Rp 1,096.31 trillion. This figure consists of the initial impact or realization of investments announced by BKPM amounting to Rp 659.74 trillion, plus a direct impact of Rp 279.83 trillion and an indirect impact of Rp 157.02 trillion due to additional economic activities formed. Meanwhile, the impact of investment on job creation is estimated at 1.7 million workers. It is said that so far, the analysis of the impact of investment on the economy has been very underestimated because it has not covered the entire impact, namely the initial impact, direct impact and indirect impact. "If we look at the realization of an investment of IDR 659.47 trillion, there is a direct addition from economic activities that generated IDR 279.83 trillion, while the indirect impact, such as food stalls and other activities, is IDR 157.02 trillion. the total in the economy is Rp 1,096.31 trillion because there is an additional Rp 400 trillion from economic activity," said Teguh.

Sources: https://www.beritasatu.com/ekonomi/872129/investasi-di-luar-jawa-berdampak-lebih-besar-pada-ekonomi