Investment Policy According to the Direction of Investment Policy in Indonesia
- DOI
- 10.2991/assehr.k.211203.078How to use a DOI?
- Keywords
- Investor; Investment; Policy
- Abstract
To attract investors to invest, a country needs to determine a conducive and investment-friendly investment policy. A conducive investment policy is a policy that can facilitate and attract private investment in general and foreign investment in particular, encouraging foreign investors and domestic investors to invest by increasing the level of comfort and minimizing uncertainty, discretion, and ambiguity. Some countries provide restrictions on investment entry (especially foreign investment) by setting a minimum capital limit. The government creates a fundamental investment strategy to stimulate the formation of an investment-friendly national business climate in order to boost the national economy’s competitiveness and accelerate investment growth. Article 4 of Law Number 25 of 2007 declares the essential investment policy. The investment climate is a policy, institutional and behavioral environment, both current and expected conditions, which affect the level of risk and the rate of return on capital investment. The investment climate is dynamic, meaning that every element in it will change as business dynamics and time change. The national development program, which is the direction of Indonesia’s investment policy, stipulated that it is possible to implement investment in Indonesia by fulfilling specific requirements. In addition, foreign investment is directed at strengthening the growth of the national economy in order to support the achievement of national development goals. The need for government regulation of investment is intended to provide direction for investment carried out in Indonesia to play a role in national development.
- Copyright
- © 2021 The Authors. Published by Atlantis Press SARL.
- Open Access
- This is an open access article under the CC BY-NC license.
Cite this article
TY - CONF AU - Ni Luh Made Elida Rani PY - 2021 DA - 2021/12/03 TI - Investment Policy According to the Direction of Investment Policy in Indonesia BT - Proceedings of the 2nd International Conference on Business Law and Local Wisdom in Tourism (ICBLT 2021) PB - Atlantis Press SP - 352 EP - 355 SN - 2352-5398 UR - https://doi.org/10.2991/assehr.k.211203.078 DO - 10.2991/assehr.k.211203.078 ID - Rani2021 ER -