Indonesia's investment climate reforms began to bear fruits. In the new World Bank publication
This new titled Doing Business 2010: Reforming Through Difficult Times, Indonesia is considered
as the countries most actively engaged in reform.
Indonesia's ranking in ease of doing business has increased from 129 to sequence the
to-122 of the 183 countries that disurvei.Kendati improved, Indonesia's investment climate still
lagging among ASEAN countries. In the annual report of the World Bank / IFC seventh
is, Interesting to note, at least 131 from the 183 countries around the world actively engaged
regulatory reform of the business world.
In East Asia and Pacific, 17 from 24 countries to reform the regulation against crisis
The global financial order their businesses more efficiently and encourage business opportunities for business
kecil.Dalam global scale, the best ranking achieved the ease of doing business in Singapore,
New Zealand, and Hong Kong (China).
Singapore's first champion for four consecutive years since introducing service
computer-based online public and to accelerate the business start-ups, construction permits, and
property transfers. World Bank survey was to analyze various regulations relating to
10 stages of doing business.
Stages include: starting a business, construction permits, hiring employees, the
registering property, obtaining credit, protecting investors, paying taxes, trading
cross country, enforce contracts, and closing business. Business regulation can affect
the extent to which small and medium-sized companies to overcome the crisis, how fast the local entrepreneurial
began to seize opportunities when the recovery began to appear.
However, this survey did not measure all aspects of the business environment that are important to
investors and companies, such as security, macroeconomic stability, corruption, the level of
skill, or strength of the financial system. Three stages of a business in Indonesia assessed
improved significantly. First, starting a business. To start a business in
Indonesia needs nine procedures, takes 60 days, with 26% of the cost
income per capita, and initial capital of at least 59.7% of income per capita. This means
much better than in 2008 in which to do business required 11 procedures and 76 days,
2007 was also the year in which to do business takes 12 procedures and 105 days.
Second, Registering property. For the registration of property in Indonesia through the six procedures,
It took 22 days, costing 10.7% of property value.
Third, protecting investors. Efforts to investor protection assessed by a number
index, with a range of 0 (lowest) to 10 (best). It is best to index
transparency (10), followed by investor protection index (6). While how far director liability
index and the ease of shareholder suits index each assessed five and three.
Presumably SBY government efforts to reform the investment climate fundamentally
since been appointed as president in October 2004 began to bear fruits. In an era
government has issued various policy packages aimed at improving
investment climate in Indonesia. At least this is shown in the following policy packages: (1)
Investment Climate Improvement Policy Package in the Presidential Instruction No. 3 / 2006, (2) Acceleration Package
Real Sector Development and SMEs Development in the Presidential Instruction No. 6 / 2007, and (3) Pack
Investment Climate Policy in the Presidential Instruction No. 5 / 2008 on Focus Economic Development 2008 -
2009. The third policy package contains a variety of policies to improve the climate
investment, accelerating growth in the real sector and SMEs in Indonesia.
Ease of doing business in Indonesia is still less compared to other ASEAN countries
lainnya.Dalam World Bank report this year, Indonesia ranked the number-122 is still under
Singapore (1), Thailand (13), and Malaysia (23), although already in the Philippines (144th), Cambodia
(145), and Laos (167).
Many studies have found that decentralization since 2001 has worsened
investment climate in Indonesia.Lingkungan healthy business needs to attract investors
domestic and foreign. KPPOD survey conducted shows, the institution is a factor
determining the attractiveness of investing in an area, followed by social and political conditions,
physical infrastructure, local economic conditions and labor productivity.
Overlapping central and local regulations, which not only inhibit the flow of goods and
services, but also create an unhealthy business climate, it should be eliminated. Going forward,
SBY-Boediono government has a golden opportunity to make fundamental changes to
Indonesia. First, urging developed grand strategy of regional autonomy. Less than five
years, the law governing local autonomy is Law No. 22/1999 modified and
revised by Law No. 32/2004. Three main things desired by the investors and entrepreneurs:
simplification and licensing system, decreasing the various levy that overlap, and
transparency of licensing fees. Overlapping central and local regulations, which not only
impede the flow of goods and services but also create an unhealthy business climate, it is necessary
eliminated. Priority should be given to the deregulation and coordination of various local regulations
and centers.
Experience China's need to attract foreign capital we examine whether interesting to try. In China,
to permit sufficient contact the Office of Foreign Investment. Minimum investment $ 30
million. Investment applications must obtain permission from the center. However, under that amount, enough
contact the Office of Foreign Investment in the region. When the maximum foreign investment approval
three days. When more than three days no notice of this office, the application of investment
considered acceptable. Law on Investment (Law) No. 25/2007
apparently has not expressly regulate the division of authority between central and local government
in licensing and services such as investment in China. To that end, Law need to be equipped
with a number of government regulations, more detailed.
The second fundamental change, the bureaucrats and officials at central and local levels are still much
that behaves as a "predator", and yet to become a facilitator for the business world. This
great challenge to president SBY and his cabinet later on. When you want to improve export performance
and eradicate corruption, suggested: "clean up" roads, ports, customs, and
Police from various forms of grease money.
Five-year government of SBY-JK to be over, but the business world economy is still characterized
high cost. Concerns of businessmen is increasingly burdened with various
increase in charges "benign" (read: tariff and taxes) and wild (illegal). Business environment
tends to lead to the competitiveness of domestic products and our growing national industry
slump.
Finally, it is the direction of reforms been in the "right track", but
presumably still "wrong gear." Like a car, the engine of economic growth, which is based on
industries and services need to be moved into high gear (gear) higher to achieve the vision of the state
forward in 2025.
The implication is still a lot of "homework" for the central and local government. Improvement
The fundamental investment environment needs to be accompanied regional marketing strategy and efforts
more proactive in attracting investment. With all the effort, hopefully in famine
investment over soon.
