POTENCY AND INVESMENT OPPORTUNITY OF

WEST KALIMANTAN
Beside located in strategic area, West Kalimantan also has potential core commodities
to be developed such as paddy, corn, citrus nobliys, palm oil, rubber, inner coconut.
The word of Indonesian Industrial Forest (HTI), chicken, pig, fishes, lobster and bauxite.
Beside those commodities there i s also big prospective opportunity in various sectors
such as horticultural, fisheries, forestry, livestock's, tourism, mining, trade, service and
industry. 4-
i,
BACKGROUND
1988 - 2004 : 74 Foreign lnvestment Project with the investment value
US $ 186,590,570.00 but only 29 Foreign lnvestment Project has realitated their
project.
- Foreign lnvestment = 35 %from total of investment
- Foreign lnvestment = 12 % from GDP
- Foreign lnvestment = 10 % from Export
- Foreign lnvestment = 30 %from Direct Labor
- Foreign lnvestment 2005 = US $250.000.000.00 (Prediction)
To create good condition in increasing the conducive investment climate
- To create stabilization of politic
- To against corruption
- To increase certainty of law
- Good corporate governance
2. The PUIIC~ and lnvestment Rules has been improved to give national service for
foreign investors.
- Economic sectors has been opened for foreign citizens including Real Estate,
Banking and Financial, Infrastructure, etc.
- lnvestment Rules has been finalized and will be aplicated on 2006.
3. Integration between National and International.
- Implementation of Asian FreeTrade Area (AFTA)
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- Make Indonesia become a gate for ASEAN countries.
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- Become the member of Trade Cooperation of Bilater wc walays?d (Sosek. :-y
Malindo, BIMP-EAGA, IMS-GT, AlDA and IMT-GT.
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4. Administration reformation to increase local management (Incorporated of West
Kalimantan)
- The restructure of administration procedure in every level especially license; - .
procedure, land clearing, tax, etc.
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- To delegate the authority and responsibility to Local Government
- To make the dialogue continuously with investors to solve the problem. m ~ , ~
What will be done
1. To increase improvment of law and the rules that has been applied.
lnvestment regulation i s expected to be informed this year
To combine the regulation of foreign investment and domestic lnvestment in
order to create one regulation about investment for foreign investor and domestic
investor.
Government of West Kalimantan arranged the Agenda which i s priority to the
economic activities for facing globalization.
2. Development of marketing function and comprehensive infrastructure.
To develop real estate market, field job, technology, etc.
To increase investment in infrastructure sector such as electricity, clean water,
transportation, harbor, etc.
3. Preparing the Province strategy for the Integration of International Economy.
To develop integration planning at all Governance level
To increase the relationship of bilateral and multilateral Cooperation.
To increase the commitment of effective investment
To improve the system of law in fulfilling the conditions of integration between
investor and government.
Challenges will be faced
Business condition in West Kalimantan is not more interesting than other Provinces or
countries because of:
Low of local income
Lack of infrastructure
Master plan of economic development i s not comprehensive yet
Lack of transparency and low frame work that can be estimated.
Unoptimal public service.
STRATEGY OF ECONOMIC DEVELOPMENT
bold Triangle -
1
- Border Area
- Seaside Area
- Province Border Area
- Harmony in Ethnic
- Progress in Busi-
ness
- Discipline in Gov-
ernance
Master plan
- Harbor, Airport
- Power Plant
- Clear Water
-Telecommunication
- Road, Bridge, Terminal
. L Local Capacity
- Strengthen of Local Financial Sector
I - Strengthen of Local Private Sector
. .Economic Cooperation
-West Kalimantan Fund
- Unify of West
Kalimantan
- incorporated of
West Kalimantan
- Network of West
Kalimantan
- Unify of West
Kalimantan
- incorporated of
West Kalimantan
- Network of West
Kalimantan
WEST KALIMANTAN IN ASIA PASlFlC
West Kalimantan (orange area)
Reg.encies / Municipality in West Kalimantan
k Sara-
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K? Sara-
Power Plant