General Electric Company (NYSE:GE) has announced it will be making an investment to the tune of $1 billion in Indonesia to boost the country’s economic growth. The investment will come in sectors such as oil and gas, healthcare and power along with the company’s contribution in the South-East Asian nation’s infrastructure. The announcement came as US president Barack Obama met with his Indonesian counterpart Joko Widodo.
Altogether, the investments are expected to yield significant returns in the shape of transfer of technology and growth of supply chains that the various sectors could benefit from. Also, more than 6,000 jobs are expected to be created while training will be provided every year to over 1,000 individuals. GE already has a presence in Indonesia which should help facilitate the projects to be initiated as part of the investment. The company operates in the Indonesian capital Jakarta and has a 1,000 strong workforce in the country. It also has manufacturing facilities in Batam and Yogyakarta.
The American multinational conglomerate certainly has the expertise and the resources such as sustainable infrastructure solutions and the latest technology to contribute significantly to the Indonesian economy. GE is also well-positioned to considerably enhance Indonesia’s infrastructure through its development capabilities and financing solutions.
In the oil and gas sector, GE will help develop the existing subsea equipment manufacturing facility and join Indonesian companies in facilitating the growth of manufacturing and assembly at the local level. In the area of healthcare, GE will assist in the provision of universal healthcare by developing Indonesia’s primary healthcare ecosystem. That will include the setting up of 100 primary care clinics. Also, as Indonesia takes steps to enhance power generation, GE will be there to provide the required technology. The company intends to join hands with local companies to help improve, repair and service competencies as well as develop their manufacturing and assembly abilities. Indonesia plans to enhance its power generation capability by 35 GW by the year 2019.