JAKARTA — Foreign direct investment into Indonesia shrank 6.95% in the second quarter from a year earlier to 202.2 trillion rupiah ($12.3 billion), the investment ministry announced on Tuesday, the biggest such drop in five years.
Rising geopolitical tensions have eroded appetite for investment in the country, Investment Minister Rosan Roeslani told a news conference on Tuesday. “[Geopolitical conflicts] are increasing and at the same time there are many policies (that hinder it), including the U.S. which is withdrawing its investment in the country,” he told reporters.
