Foreign Direct Investment In Indonesia

General Discussion

Over the past ten years, Indonesia has undergone dramatic changes, starting with the crash of its economy during the South East Asian economic meltdown. Shortly thereafter, the Indonesian political structure underwent its most drastic changes in decades when President Soeharto was ousted in May 1998 and democratic elections were held in November 1999 to elect a new president. Since then Indonesia has gone through the growing pains and turmoil of a newly-democratised country.

In 2004 Indonesia suffered the disturbances of an election year, and with some of the capital that flowed overseas during the political upheavals now returning to the country, Indonesia needs now, more than ever, a cohesive and certain legal system and investment regime, both to continue the implementation and development of the recent reforms and also to attract new investment that might otherwise be attracted by the dynamic economies of China and other SE Asian nations.