News - Infrastructure Issues Potentially Hamper Investment in Bandung Regency

Infrastructure Issues Potentially Hamper Investment in Bandung Regency

Jan, 08 2026

RADARBANDUNG.ID, SOREANG – The Bandung Regency Government has been reminded to be aware of infrastructure issues that could hamper investment opportunities in 2026. This warning was delivered by Pasundan University Economic Observer, Acuviarta Kartabi, who believes that future challenges to the regional economy will only increase if not addressed early.

Acuviarta stated that shifting budget priorities at the national level could directly impact the region's ability to attract investment, especially if infrastructure development and maintenance are not optimized.

"There are many challenges next year, especially related to shifts in the national budget. Large budgets must be optimized to have a positive impact on the region," Acuviarta said on Tuesday (January 6).

According to him, several priority programs of the central government, such as Free Nutritious Meals, the Red and White Village Cooperative (KDMP), and infrastructure development, must be managed with careful planning to ensure maximum impact on the regional economy.

He emphasized that if the allocation of ministry and agency spending to the regions does not align with local needs, investment opportunities that should grow will actually be hampered.

"The budget that enters the regions mostly comes from ministries and institutions. Hopefully, this budget is aligned with regional priorities to support economic growth," he said.

In addition to budget planning issues, Acuviarta also highlighted the slow realization of regional spending, which is a serious warning for the Bandung Regency Government. The pattern of budget absorption piling up at the end of the year, coupled with weather factors, can hinder optimal infrastructure development.

"If budget absorption piles up at the end of the year, especially with weather factors, work may not be optimal, and the potential for unused infrastructure is also significant," he said.

He said this situation risks reducing investor confidence, especially in sectors that depend on the readiness of basic infrastructure.

Regarding economic growth, Acuviarta emphasized the importance of Bandung Regency recording growth above 5.5 percent so that the impact can be felt by the community and send a positive signal to the business world.

"If it remains below 5.5 percent, the economic condition will not change much. I hope next year it can reach 5.5 to 6 percent to increase household consumption and purchasing power," he said.

He also noted the slowdown in the residential construction sector as an indicator that warrants close attention. This sector plays a crucial role in supporting economic activity and infrastructure development.

"Without improved budget management and accelerated infrastructure development, Bandung Regency risks losing investment momentum amidst increasingly fierce inter-regional competition," he added.

[SOURCE]

The Bogor Regional Government remains open to investment opportunities in Puncak, with the following conditions

Bogor Regency, West Java (ANTARA) - The Bogor Regency Government, West Java, has confirmed that investment opportunities in the Puncak tourist area remain open, provided that investors abide by the applicable environmental management procedures and regulations. Bogor Regency Secretary Ajat Rochmat Jatnika said that the regency government would not impose a moratorium on environmental approvals in Puncak as long as these regulations were consistently implemented. “As long as environmental procedures and regulations are followed when investing in Bogor Regency, especially in Puncak, there is no need for the regency government to impose a moratorium on environmental approvals,” Ajat said in Cibinong, West Java, on Wednesday. He emphasized that environmental management must be carried out based on the principle of sustainability in order to provide added value to the economy and society, while minimizing potential damage to nature. According to him, many investors have obtained environmental approvals but have not used them as guidelines in their development and operations. This condition risks triggering the revocation of permits by higher authorities. “After obtaining environmental approval, it must be implemented in the field during development and operations,” he said. To prevent violations, the Bogor Regency Environment Agency (DLH) routinely conducts field monitoring and provides reminders so that all activities comply with the approved environmental approval documents. Ajat also urged the DLH to prevent violations by conducting routine field monitoring and providing reminders so that all activities comply with the approved environmental approval documents. To prevent violations, the Bogor Regency Environment Agency (DLH) routinely conducts field monitoring and provides reminders so that all activities are in accordance with the approved environmental permit documents. Ajat also urged business actors in the Puncak area not to view environmental permits as mere administrative requirements, but as key guidelines in preserving the environment amid investment activities. Previously, the Minister of Environment (LH)/Head of the Environmental Control Agency, Hanif Faisol Nurrofiq, had revoked a number of environmental approvals in the Puncak area, Bogor Regency, West Java, which were deemed not in accordance with the provisions on spatial utilization and environmental protection. He said the revocation was carried out because business operators did not immediately comply with the demolition orders that had been issued previously. In total, there are 33 business units located on the operational cooperation (KSO) land of PT Perkebunan Nusantara (PTPN), and 9 of them had previously had permits but have now been officially revoked by the Ministry of Environment. [SOURCE]

Nov, 26 2025

Mazda Starts Building Its Factory in West Java, Investment Reaches Rp400 M

Bloomberg Technoz, Jakarta - Eurokars Motor Indonesia (EMI) as the sole agent brand holder (ATPM) and distributor of Mazda cars in Indonesia announced that it has started building its assembly plant in West Java. Eurokars Motor Indonesia General Manager Marketing and Communications Pramita Sari said the plant has laid its first stone since March 2024 although she did not specify the exact location of the plant. “[The Mazda plant] is located in West Java with an investment of Rp400 billion,” Pramita told Bloomberg Technoz on Friday (19/7/2024). Meanwhile, regarding the operating target of the Mazda factory, Pramita only said that this would be informed further when significant progress was seen. “In this initial stage of assembly in Indonesia, we will focus on compact SUVs,” he continued. (SOURCE)

Jul, 19 2024

West Java BI Predicts Economic Growth to Reach 4.9%

Warta Ekonomi, Bandung - Bank Indonesia West Java Provincial Representative Office predicts that economic growth in West Java in 2024 will reach 4.9 percent - 5.7 percent year on year. Head of West Java BI Representative Erwin Gunawan said this must be immediately responded to with optimism. However, he also invited all stakeholders to remain vigilant in facing various challenges in 2024. "In 2024 we must be optimistic but remain vigilant," said Erwin to journalists after attending the launch of the 2023 Indonesian Economic Report (LPI) in Bandung, Wednesday (31/1/2024). Erwin also appealed to all parties to continue to work together in various ways to realize West Java's economic growth in 2024. "Hopefully with synergistic collaborative efforts together we can realize economic growth in the range of 4.9 - 5.7 percent year on year," he said Erwin said that the 2024 political year would increase consumption so that it would have a positive impact on West Java's economic growth. "Historically, election activities will have a positive impact on the economy. Moreover, in West Java, apart from the presidential election in February, it will also be followed by regional elections in November. Of course it will increase consumption in society," he explained. Erwin added that increasing consumption and demand in society must be balanced with controlling inflation through synergy and collaboration with related parties, including the West Java Provincial Government. "Increased consumption will also occur as the celebration of religious holidays approaches which coincides with the presidential and gubernatorial elections," he said. Meanwhile, Acting Regional Secretary of West Java Province, Taufiq Budi Santoso, appreciated the collective work of Bank Indonesia West Java Representatives which has encouraged West Java's economy to remain stable during 2023. "I think this theme is very relevant to what is happening in West Java. The human development index is increasing, thank God we can reduce the unemployment rate," said Taufiq. Apart from that, during 2023 the number of people in the underprivileged category in West Java will decrease, accompanied by incomes that continue to increase slowly. "The poor population in West Java may decrease, per capita income will also increase," he said With regard to investment, West Java is at the forefront with a realization achievement of IDR 210.6 trillion during 2023 or reaching 112 percent. "Investment in West Java recorded investment realization reaching IDR 210.6 trillion, reaching 112 percent," he said. Entering 2024, he said that the West Java Provincial Government is determined to strengthen several strategic sectors to bring prosperity to the people of West Java. "In 2024 the provincial government will strengthen strategic sectors, education, infrastructure and human resources, so that economic growth can be achieved with the quality of life of the community," he concluded. (SOURCE)

Feb, 02 2024

Optimistic that Investment Reaches IDR 1,650 Trillion, Can Control 61 Percent of Freeport Shares

DAILY DISWAY - Minister of Investment/Head of the Investment Coordinating Board Bahlil Lahadalia is confident that the 2024 presidential election will be held in one round. That's why he also believes that the conducive political situation will enable Indonesian investment this year to reach the target of IDR 1,650 trillion. So, Indonesia can achieve economic growth of above 5 percent. "Hopefully what the KPU decides can only last one round. "Because we see that the difference is very large, but we are waiting for the KPU's decision," said Bahlil at the 2024 Post-Election Investment Prospects press conference at his office, Monday, March 18 2024. Of the total investment target, Bahlil detailed that Foreign Direct Investment (PMA) remains the same as last year. Namely a minimum of 52 percent. This is because the global economy has not yet recovered and stabilized. Moreover, the current geopolitical situation is still characterized by tension in the Middle East. Also Ukraine and Russia where there are still no signs of recovery. So, many countries are already experiencing a recession. Bahlil reported that investment realization from January to December 2023 reached IDR 1,418.9 trillion. This figure was recorded as 101.3 percent of the target set at IDR 1,400 trillion. The investment realization achievement consisted of PMA of IDR 744 trillion or 52.4 percent of the target. Then, another 47.6 percent was Domestic Investment (PMDN) or IDR 674.9 trillion. And the largest investment realization occurred outside Java with achievements reaching IDR 730.8 trillion or 51.5 percent of the target. Meanwhile, realization on the island of Java was recorded at 48.5 percent or reaching IDR 688.1 trillion. Of this total investment, it has absorbed 1.8 million Indonesian Workers (TKI). Bahlil also resolved stalled investments. Namely IDR 558.7 trillion or around 78.9 percent of the total IDR 708 trillion. The remaining amount, amounting to IDR 149.3 trillion, said Bahlil, was difficult to complete due to a number of obstacles."We can no longer make improvements. This is because it can no longer be executed, due to the companies experiencing internal difficulties," he said. Furthermore, he explained various positive developments in the realization of other investments. Among them is the PT Lotte Chemical Indonesia factory in Cilegon with an investment of IDR 59.4 trillion. This investment is the result of completion of stalled investment since 2016. Now the progress of investment realization has reached 85 percent. It is estimated that production will start this year. The resulting products will be import substitutes. The composition is 70 percent for domestic needs and 30 percent for exports. Bahlil then emphasized that his party was accelerating the revision of Government Regulation (PP) number 96 of 2021 concerning the Implementation of Mineral and Coal Mining Business Activities. If the regulations are complete, Bahlil said, the government will increase its shares in PT Freeport Indonesia (PTFI) by 10%. From the previous 51% to 61%. The revision of PP 96 was brought to a Limited Meeting (Ratas) with the President of the Republic of Indonesia Joko Widodo some time ago. With this revision, said Bahlil, there will be adjustments and acceleration in the framework of sustainable investment. "If that happens and the potential for additional Freeport shares in Indonesia becomes 61 percent, it means that Freeport no longer belongs to someone else, but already belongs to us," he said. Under the current regulations, a new contract extension can be submitted no sooner than 5 years before the contract ends. And no later than 1 year before the contract ends. "We changed it because it is integrated with the smelter," he explained. Apart from that reason, specifically for PT Freeport Indonesia (PTFI), for example, applications for contract extensions can be made immediately. Remembering that there must be certainty regarding investment. Especially for carrying out production at the company's mines. "In 2035, Freeport's production will start to decline, while we will explore underground for at least 10 years," continued Bahlil. So, he said, if we start thinking about extending it until 2035, there will be a vacuum of approximately 5-10 years. (SOURCE)

Mar, 21 2024

AAF 2024 Was Successful, Acting Regional Secretary: Proof of Pentahelix's Concern and Collaboration

The Asia Africa Festival (AAF) 2024 on 6-7 July 2024 was lively and successful. This cannot be separated from the support, cooperation and prayers of all the people of Bandung City. "The 2024 Asia Africa Festival (AAF) was a success thanks to the support, cooperation and prayers of all employees and the people of Bandung City. Yesterday two days in a row went smoothly and successfully," said the Acting Regional Secretary (Sekda) of Bandung City, Dharmawan, Monday (8/7/2024) He considered that holding AAF was not only a momentum to remember the history of the Asian-African Conference (KAA) but also a form of pentahelix concern and collaboration between the government, entrepreneurs, academics and media as well as society which had been well developed in the city of Bandung. "This shows us that holding AAF is not only a momentum to remember the history of KAA but also as a form of concern, especially support from the Bandung city government and the community, that collaboration is going well," he said. Dharmawan said that holding AAF could also be a momentum for increasing investment in the city of Bandung. This is proven by the increasing occupancy rate and tourist visits to the city of Bandung. This can also be a momentum to boost the rate of economic growth in the city of Bandung. "We hope that holding AAF will be a momentum for increasing investment. The city of Bandung is a city full of hope in economic development," he said. "We need to intensify this, because one of the macro indicators is the rate of economic growth," he said. Not only that, AAF 2024 is also a series of the 214th Anniversary of the City of Bandung. So the momentum for the success of holding this AAF must be an inspiration for holding other HJKB series. "This is a form of collaboration from all stakeholders, all of whom directly support this process. I appreciate the solidity and solidarity of all regional officials so that the implementation runs well and smoothly," he said. SOURCE

Jul, 10 2024

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