Indonesia plans 'surprises' in easing foreign ownership cap: Investment chief

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Indonesia will unveil plans for increasing how much foreign investors can own of businesses in some sectors by year-end, the head of the country's ...

JAKARTA: Indonesia will unveil plans for increasing how much foreign investors can own of businesses in some sectors by year-end, the head of the country's investment board told Reuters.

A new round of changes in the so-called"negative investment list", which bars foreigners from some sectors and caps their ownership level in others, should be announced before the end of 2019, Lembong said. While the move drew investment in some businesses, such as film-making, foreign direct investment has remained sluggish, particularly ahead of general elections in April.FDI, excluding oil and gas as well as banking, was US$29.3 billion in 2018, down from US$32.2 billion a year earlier, BKPM data showed.

Lembong said coming revisions will"drastically" open the university sector to 100 per cent foreign ownership within special economic zones or 67 per cent for locations anywhere else.Channel NewsAsia - Sentifi topic widget"You know the unicorns, the startups are raising staggering sums of money. But there are other supporting industries that are similarly capital intensive that are surprisingly closed to foreign investment as of now," he said, without elaborating.

 

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