The Coordinating Minister for Economic Affairs of Indonesia, Airlangga Hartarto, stated on Monday that Indonesia plans to add 7 to 9 new economic zones in the next 4 years. The aim is to optimize and enhance investment through the robust development of economic zones to achieve economic growth targets.
Speaking at the Indonesian Economic Zones Business Forum 2024, he mentioned that the development experiences of some Asian countries have proven that economic zones can effectively drive economic growth.
Indonesia began its economic zone development with the enactment of the Economic Zones Law in 2009. Currently, Indonesia has 24 economic zones, comprising 12 manufacturing zones, 8 tourism zones, and 4 service zones.
Airlangga noted that in the first three quarters of this year, Indonesia's 24 economic zones attracted a total of 394 companies, bringing in additional investments of 242.5 trillion rupiah (approximately 15.3 billion US dollars), and creating 151,000 jobs.
He stated that to attract more investors, the Indonesian government will provide multiple fiscal incentive measures, including exemptions from value-added tax, luxury goods tax, customs duties, and reductions in local taxes. The Indonesian government will continue to strive in implementing various fiscal and non-fiscal incentive measures in the future.