Government has lowered its investment target to Rp817 trillion this year, from Rp886 trillion set in the initial target. The COVID-19 pandemic has hindered the government’s efforts to attract new investment into the country, Investment Coordinating Board head Bahlil Lahadalia said on Thursday (July 9). Foreign direct investment (FDI), which accounts for less than half of total investment, fell by 9.2% to Rp98 trillion in the January to March period from the same period last year.

The COVID-19-induced economic downturn started to impact investment in Indonesia in mid-March, resulting in a decline in FDI, said Lahadahlia. The agency is trying to accelerate the investment realization amid the pandemic in many ways include digitalizing various administrative processes to attract more investors.