President Joko Widodo Finalizes More Than $20 Billion in Investment Deals
WASHINGTON, D.C. – President of the Republic of Indonesia Joko Widodo met with top executives from leading U.S. companies to finalize twelve investment deals totaling $20.25 billion (USD). These investments will spur power generation, enhance linkages in the gas sector and further drive developments in Indonesia’s renewable energy infrastructure. These transactions build upon President Widodo’s ambitious infrastructure development agenda.
- Pertamina and Corpus Christie Liquefaction, a subsidiary of Cheniere Energy: Shale gas sales and purchase agreements valuing $13 billion (USD).
- Coca-Cola: A five-year $500 million (USD) investment, announced earlier this year, that will enable the company to strengthen its infrastructure and create additional jobs in Indonesia.
- General Electric (GE): Announced an investment of up to $1 billion (USD) over a period of five years in the power, oil and gas, and healthcare sectors to support Indonesia’s accelerated economic growth. GE also announced various agreements relating to four infrastructure projects. This includes three projects related to the power sector that may contribute an estimated 3 gigawatts (GW) in capacity in Indonesia. It also includes a further letter-of-intent for a multi-year maintenance service agreement for 50 diesel-electric locomotives in Indonesia.
- Caterpillar and Fluidic, Inc.: MoU initiating the launch of the “500 Island Project,” which will provide reliable and renewable based electricity to 500 remote villages and islands, serving more than 1.5 million people.
“Indonesia has one of the largest economies in Asia and a rapidly-growing middle class. These new partnerships will help Indonesia and the U.S. realize the full potential of our economic relationship as Indonesia diversifies and grows its economy,” said President Joko Widodo. “I look forward to working together with public and private sector leaders in the U.S. to achieve shared prosperity. Now is the time to invest: Indonesia is open for business.”
The signing ceremony at the U.S. Chamber of Commerce was attended by President and CEO of the U.S. Chamber of Commerce Tom Donohue, Deputy Secretary of Commerce Bruce Andrews, Assistant Secretary of Commerce for Global Markets Arun Kumar, Assistant Secretary of State for Economic and Business Affairs Charles Rivkin, and U.S. Ambassador to Indonesia Robert Blake, Jr. The event followed President Widodo’s meeting President Obama at the White House, where both leaders committed to enhancing bilateral commercial relations.
Indonesia is the largest economy in Southeast Asia. With more than 60 million Indonesians projected to join the middle class in the next ten years, Indonesia is a growing market for U.S. companies. During his visit to the U.S., President Widodo will seek to deepen and promote business and investment ties between Indonesia and the U.S. to help realize the full potential of their economic partnership, including Indonesia’s vast potential in the digital economy. President Widodo recently launched nearly 150 regulatory reforms all aimed at improving the investment climate.