Weekly Digest: Great Expectations from the Positive Investment List

Foreign investment
Summary

  • Earlier this year, the government planned to issue a Presidential Regulation on Positive Investment List as a substitute for the Negative Investment List. This policy is intended to provide a list of investment opportunities for investors. Some fiscal incentives are also being prepared.
  • The main target is to bring in foreign investors, as indicated by the planned portion of Foreign Direct Investment (PMA) in the current relaxation of the Negative Investment List, which is increased to 83 percent of business sectors from 64 percent in 2016. The number of businesses permitted to be wholly owned by foreigners (up to 100 percent) is also increased.
  • In the past four years, the portion of foreign investment in total domestic investment has continued to decline. It even tends to be almost the same portion as domestic investment.

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