Indonesia sees new financial centre drawing up to US$27.8bil in investment


FILE PHOTO: A pedestrian bridge across Jalan Sudirman in Central Jakarta. - The Jakarta Post/ANN

JAKARTA: Indonesia's planned international financial centre will attract up to about 500 trillion rupiah (US$27.79 billion) in investment, a senior finance ministry official said on Wednesday (July 8).

* Investments for the project could come in a range of 300 trillion rupiah to 500 trillion rupiah, official Herman Saheruddin told reporters.

* "The potential investment could be in the form of setting up new branches of foreign banks or new business entities," he added.

* The location of the proposed centre has yet to be decided.

* Indonesia is currently deliberating a bill that regulates the financial centre project, including its tax and legal benefits.

* According to earlier discussions between lawmakers and economic experts, some of the proposed tax benefits could be full exemption of corporate income tax for businesses and value-added tax exemptions on goods and services inside the centres. - Reuters

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