In a report from the Ministry of Investment, the realization of national investment in the first quarter of 2022 managed to reach Rp. 282.4 trillion.
The realization of the national investment figure is able to absorb a workforce of 319,013 people.
Investment Minister/Head of the Investment Coordinating Board (BKPM) Bahlil Lahadalia said that labor absorption rose 2.3 percent year on year (YoY). This increase was supported by the realization of investment value which rose 28.5 percent YoY.
“Alhamdulillah, all thanks to the help of friends from the Regency/City/Provincial Investment and One-Stop Integrated Services [DPMPTSP],” said Bahlil at the press conference ‘Investment Realization Quarter I 2022, Wednesday (27/4/2022).
Meanwhile, foreign investment (PMA) contributed 52.1 percent while domestic investment (PMDN) was 47.9 percent or equivalent to Rp135.2 trillion. The value increased, both yearly and quarterly.
BKPM has also participated in realizing investment that does not only focus on the island of Java. As of the first quarter of 2022, investment outside Java was recorded at 52.7 percent, up 30 percent YoY.
The metal, metal, non-machine, and equipment industrial sector took the first position with an investment value of Rp. 39.7 trillion in the first quarter of 2022.
Then, the second position was occupied by the transportation, warehouse, and telecommunications sectors of Rp. 39.5 trillion.
Looking at BKPM data, labor absorption since 2019 has been fluctuating until the first quarter of 2022. At the beginning of the pandemic, in the second quarter of 2020, there were 263 workers absorbed, a decrease of 13.1 percent mtm. Likewise in the third quarter of 2021, where the Delta variant spreads which also reduces employment.
Furthermore, Bahlil said that he would continue to prioritize the labor-intensive sector to increase job opportunities.
“Our investment strategy will encourage how to not only prioritize technology. But it is also based on labor-intensive to create jobs,” said Bahlil.