Evaluation of Developments During 2022, the National SEZ Council Focuses on Increasing Investment and Facilitating Resolving Obstacles

Thepresidentpost.id - In accelerating regional economic growth, the Government continues to encourage the development of Special Economic Zones (SEZ) in Indonesia. Investment is an indispensable factor in supporting SEZ development progress and is expected to increase.

In order to evaluate the development of SEZ implementation in 2022 and plans for 2023, the SEZ National Council held a SEZ National Council Meeting on Wednesday (11/01).

"Related to the development of the Special Economic Zone. First, this SEZ is running with investment achievements of IDR 30.9 trillion or 27% of the cumulative investment and has opened new jobs for 27,526 people or 49% of the cumulative workforce. As of 2022, the investment realization is IDR 113.2 trillion, the number of jobs is 55,678 people, and the investment commitment is IDR 214 trillion, of which for 2023 the investment commitment is 61.9 trillion,” said the Coordinating Minister for the Economic Affairs Airlangga Hartarto as Chair of the SEZ National Council.

This achievement was driven by several industry-based SEZs such as Galang Batang SEZ, Kendal SEZ, Gresik SEZ, Sei Mangkei SEZ, and tourism-based SEZs such as Mandalika SEZ, Lido SEZ, Tanjung Kelayang SEZ, Tanjung Lesung SEZ, Singhasari SEZ. In addition, increased investment has also occurred in the Nongsa SEZ, which has attracted investment for the data center, digital, and film industries.

In addition, of the 19 SEZs that the Government has currently established, several SEZs still need to be encouraged to develop significantly, including the Morotai SEZ, Sorong SEZ, MBTK SEZ, and Likupang SEZ.

On this occasion, a discussion was also held regarding several obstacles in the development of SEZ, such as land tenure and management issues, the lack of ability of business development entities to provide funding, the lack of management capacity and the absence of a business plan to attract investment, the need for infrastructure support from the Government, and the suboptimal provision of fiscal facilities and conveniences in SEZ.

Furthermore, the SEZ National Council provides directions for facilitating the settlement of existing obstacles and assists in the process of utilizing facilities and conveniences, adjusting regulations, improving the OSS System, increasing human resources, and providing infrastructure support to prospective SEZs and preparing financing schemes through Export Special Assignment Scheme (PKE) and Cooperation between the Government and Business Entities (KPBU).

With this support, SEZ is expected to increase investment realization in 2023 by IDR 61.9 trillion and create new jobs for 78,774 people who are part of the implementation of the investment commitments of IDR 214 trillion.

On this occasion, they also agreed to establish a new SEZ, the Kura-Kura Bali SEZ (KKB), located on Serangan Island, Denpasar, Bali. The development of KKB SEZ is intended to increase tourism through the development of marinas and resorts with a total investment value of IDR 104 trillion for the next 30 years. New jobs will be created, as many as 35,000 direct and 64,000 indirect workers and saving a foreign exchange of USD 31.8 billion.