The Ministry of Investment or the Investment Coordinating Board (BKPM) has expressed that achieving the investment target of IDR 1,650 trillion by 2024 presents a considerable challenge. This target marks an increase from the 2023 goal of IDR 1,400 trillion. Nurul Ichwan, Deputy for Investment Promotion at the Ministry of Investment/BKPM, highlighted the difficulty in measuring the influence of political changes or presidential leadership transitions on incoming investor interest. Ichwan admitted, "Frankly speaking, achieving actualization is quite challenging because we can't say there's no impact from this political year. We're unable to measure it because based on previous election experiences, there's no consistent behavior." This uncertainty arises from past instances where investment slightly rose during presidential elections but decreased in subsequent ones.
Despite this, Ichwan observed that the current campaign process is proceeding smoothly, instilling positive confidence among investors. During political years, investors don't necessarily cancel their investments but rather postpone them while assessing the ongoing political situation. If the political atmosphere remains stable, investors are likely to materialize their investments, possibly starting next year once the new government takes office. Addressing doubts surrounding investments in the planned capital, Nurul noted concerns from a vice-presidential candidate regarding the New Capital City (IKN), creating uncertainty. Nevertheless, she emphasized that most investments in Indonesia do not center around the IKN but focus on other sectors. Nurul continued, stating that Indonesia maintains its attractiveness for investors due to two primary factors: its rich human resources and the existing market. Despite political uncertainties impacting investment timelines, Indonesia's allure for investors persists, largely directed toward sectors beyond the IKN project.
