Minggu, November 01, 2009

Menperind MS Hidayat: Polemics Corruption Withdrawal can trigger investor from RI Print Email

Jakarta, (Analysis)

Polemic is happening around the eradication of corruption in Indonesia today can make investors pull funds from Indonesia.

Therefore, this debate should be dealt with immediately so as not to drag on. This was conveyed by Minister of Industry who is also Chairman of Kadin MS Hidayat when met at the office of Coordinating Minister for Economic Affairs, Jalan Lapangan Banteng, Jakarta, Saturday (31/10).

"Investors can doubt, but I do not expect in a long time this problem can be solved," he said.

Polemic that occurred today, according to Hidayat making investors hesitant to legal certainty in Indonesia,

"I spoke in the context of legal certainty, any issues that caused great debate must be resolved, if there would be no impact. I spoke in the context of legal certainty is not in the context of the case," he said.

Hidayat said that, every major legal disputes such as the leadership arrests The Corruption Eradication Commission (KPK) by the police, then investors will hesitate to make long-term investment in Indonesia.

"In the context of legal certainty, any dispute, legal dispute that national impact should be constraint to avoid a protracted, if the long term would cause the impact on the investment," he said.

Half Reduce Foreign Investment

Meanwhile, observers argue Economic Drajad Wibowo two chief arrests The Corruption Eradication Commission (KPK) and pergelutan between the Police Commission regarding the case can reduce half of foreign investment in Indonesia.

It is delivered over the discussion forums Drajad Economic and Monetary Journalist (FORKEM) at the Lido, Sukabumi, Saturday (31/10).

"If investors typically invest for 10, and with this issue then investors will invest only $ 5," explained Drajad.

Terms of the investment, said Drajad, namely the existence of legal certainty and transparency of law. Therefore, the case will make a reduction in the amount of their investment in Indonesia gelontorkan. Drajad states with these cases, the amount of investment will be reduced at least half of the usual.

According to him, maybe the investors will still invest in Indonesia but the amount will be lower than before this case arise.

"I think the problem between the Police Commission will only have a negative impact for investors to Indonesia," said Drajad.

Drajad states kontoversi between the Commission and the Police had made investors doubt that law enforcement in Indonesia. This led them to believe that business should be close to Indonesia so that the authorities will return the collusion between the authorities with a naughty businessmen in the past.

"Then the investors would think that corruption is the Name of The Damn in Indonesia and the law not only can be purchased but also secured if they are close friends with the ruling," said Drajad.

This case adds to investors load legal uncertainty. Previously they have positive sentiments of the Commission's performance, but now it is to be dispersed, "said Tony Prasetiantono Economic Observer to detikFinance, Saturday (31/10/2009).

According to Tony, the KPK arrests led to a negative result, unless this case can be tried and police quickly proved well. "If not, this has been breaking expectations of investors and economic actors to the rule of law in Indonesia," he said.

Economic observers from ECONIT Saparini Hendri said investors assess the current case the Commission as a government effort to clean up corruption, is positive and will be an incentive for investors to Indonesia.

"But unfortunately many investors are precisely assess cases of arrest of the leadership of this Commission are not transparent and not worry this is a government attempt to cover up cases of corruption. So do not be surprised if it eventually Commission cases counter-productive to efforts to encourage investment," he explained.

Meanwhile Rizky Yanuar Economic Observer said, the weak state of law enforcement will only be of interest to the game of hot money (hot money).

"Because it means the transaction was fried hot money that would freely in any country's jurisdiction includes criminal acts. Unlike the case with real investment, because it invested the money to produce then there must be risks, so the production cost structure will be counted," he said.

Yanuar said, the current cost of bureaucracy in Indonesia the company's financial burden, which means to eradicate corruption. (DTC)

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