Foreign investors will be able to take larger stakes in Indonesia's infrastructure projects. The changes require formal presidential endorsement before they can come into effect.
Hatta Rajasa, Indonesia's chief economic minister, stated:
The commitment is to maintain Indonesia's economic growth and anticipating a slowdown in the global economy by encouraging investment, particularly in domestic and foreign investment.
Through a proposed revision of Presidential Regulation No 36/2010 regarding the Negative Investment List, foreign investors will have more room for investing in Indonesia's infrastructure sector within public-private partnership schemes (PPP projects), including sub-sectors of transportation, drinking water, as well as electricity generation.
If the new revision is approved, foreigners investors will be able to have:
The World Bank said in its most recent quarterly review of the Indonesian economy that growth is likely to slow in 2014 at 5.3% is the expected base case, down from 5.6% in 2013.