Selanjutnya
Joint Announcement of
the Japan-Indonesia Strategic Investment Action Plan (SIAP)
1. On June 2, 2005, H. E.
Junichiro Koizumi, Prime Minister of
J apan, and H. E. Dr. Susilo Bambang Yudhoyono, President of
the Republic of Indonesia, a nnounced the Japan-Indonesia
Strategic Investment Action Plan (SIAP) as a new initiative for
promoting foreign investment, ･ｳ ｰ ｾ｣ｩ｡
ｬ ｹ＠
from J apan, in
Indonesia with the shared understanding that higher and
sustainable economic growth through a substantial increase in
investment is essential for Indonesia to alleviate poverty and
generate jobs .
The SIAP was prepared by the High Level Public/Private
Sector Joint Forum on Investment launched on December 16,
2004, in Jakarta, following two leaders' agreement on the
principle of its establishment in November 2004 in Santiago,
Chile.
2. The two leaders, acknowledging the Indonesian objective of
doubling the volume of foreign investment to Indonesia from
each investing country, including that from Japan, over the
next five years, decided to cooperate under the SIAP to achieve
its objective by improving investment climate in Indonesia
with the President's strong leadership.
3. The SIAP is composed of concrete actions, the list of which is
attached. These actions are subdivided into the following four
areas : tax/customs, labor, infrastructure and industrial
competitiveness/small and medium-sized enterprises.
The two leaders, recognizing some of the progress achieved by
the series of investment-related initiatives introduced by the
President since last October, stressed the importance and
urgency for Indonesia to take actions especially in t hese four
areas.
1
Although the majority of the actions in the SIAP are to be
implemented by the Indonesian government, cooperation from
the J apanese side could facilitate those actions. To this end,
the government of J apan is ready to strengthen cooperation, if
necessary, through Japan International Cooperation Agency
(JICA), J apan Bank for International Cooperation (JBIC) and
Japan External Trade Organization (JETRO). NIPPON
KEIDANREN is encouraged to actively promote Japanese
companies to substantially increase investment in Indonesia.
4. President Yudhoyono explained the priorities for Indonesian
sectoral developments and its investment targets including
infrastructure in the next 5 years. President Yudhoyono
therefore invited Japanese corporations to substantially
increase their investment mainly in supporting industries.
Prime Minister Koizumi proposed that the industrial strategy
of Indonesia be further discussed under the framework of the
SIAP and expressed his willingness to promote bilateral
economic r elations.
5. As for the future work of the Joint Forum, the two leaders
assigned the Planning and Coordination Committee of the
Joint Forum the task of monitoring the implementation of the
SIAP and discussing other important issues such as judicial
reform and capacity building. To enrich the dialogue of the
Joint Forum, an advisory team composed of experts from both
countries will be established within the Planning and
Coordination Committee to conduct policy dialogues.
6. The two leaders stressed that the progress in the SIAP,
together with a prospective bilateral Economic Partnership
Agreement to be negotiated between the two countries, would
further promote our bilateral relations which have been
developed for many years as longstanding close partners in
investment and trade.
2
The Strategic Investment Action Pla n (SIAP)
I . Tax/Customs
· Establishing/Strengthening Self Assessment System(*)
· Reforming VAT system for export promotion
· Strengthening the protection of taxpayers' rights
· Promoting transparency and disclosure for tax administration
·Reforming tax system to reduce real business cost
·Reforming tax system to promote human exchange
· Continuing dialogue on tax
·Reducing administrative obstacles to speed up custom clearance (*)
· Improving work ethic
· Socializing new regulation/law and its interpretation (*)
·Improving EDI system and On-line DGCE official website (*)
· Enhancing effectiveness of bonded warehouse
· Enhancing transparency and fairness
· Other issues indirectly related to custom activities
(*) JICA cooperation is expected for some of the projects.
Il . Labor
· Reviewing the Labor Law and regulations to ensure competitiveness of private companies (*)
·Enforcing the Industrial Relations Dispute Settlement Law properly to solve the disputes
quickly and fairly (*)
· Promoting social system (s) (vocational training, job placement and national certification
system) to create fair, flexible and productive labor market (*)
· Simplifying the procedure to obtain business visa for smooth business activities by
expatriates
·Establishing the practical social secu rity program
(*) J ICA cooperation is expected for some of the projects.
m. Infrastructure
· Enacting a regulatory and policy reform to encourage private investmen t
· Making a concrete national plan
· Having a close communication with investors and other stakeholders
· Imp roving the key infrastructure to promote investment (*)
(*) JICA and JBIC cooperation is expected for some of the projects.
In addition, there is a possibility that some of the respective infrastructure projects may be
supported by the Japanese ODA according to the necessity and eligibility.
IV. Competitiveness/ Small and Medium Enterprises
· Making an industrial strategy for enhancing competitiveness oflndonesia (*)
· Promoting s upporting industry (*)
· Strengthening the investment agency' s role of providing service to investors (*)
· Protecting the intellectual property in the domestic market (*)
·Introducing inte rnationally adopted industrial standard
· Deepening the understanding of EPA by the public (*)
(*) JETRO, JICA or private sector cooperation is expected for some of the projects.
Joint Announcement on the Commencement of Negotiations on
the Japan-Indonesia Economic Partnership Agreement
1. On June 2, 2005, H.E. J unichiro Koizumi, Prime Minister of
J apan, and H.E. Dr. Susilo Bambang Yudhoyono, President of
the Republic of Indonesia, discussed the vital importance of
strengthening the economic partnership through developing a
Japan-Indonesia Economic Partnership Agreement (JIEPA).
The two leaders expressed satisfaction with the existing close
economic a nd strategic relations between the two countries
that have been forged through fruitful cooperation over the
years, and recognized with great appreciation that such close
ties have fostered mut ual economic and strategic benefits and
opportunities for the two countries and their peoples.
2. The two leaders expressed their satisfaction with the report of
the Joint Study Group and shared the view that trade and
investment liberalization and facilitation as well as bilateral
cooperation in various areas would help create a larger market
for Japanese and Indonesian businesses and consumers. The
two leaders expressed their hope that the JIEPA would help
enhance the comprehensive economic partnership between
J apan andASEAN.
0
3. Recognizing the above factors, the two leaders hereby decided
that the governments of the two countries should enter into
negotiations on the JIEPA as soon as possible at the latest by
July 2005 taking into account the ､ｩｳ｣ｵｯ
ｮ ｾ＠
and
achievements gained in the process of the J oint Study Group
and should work expeditiously to conclude the negotiations on
the JIEPA within a reasonable period of time. The two leaders
confirmed that it is necessary to discuss a broad range of areas
a nd to promote liberalization, improvement of rules and
cooperation in accordance with the specific features of
economic relations between the two countries. Both countries
will conduct the negotiations constructively, positively and
with flexibility, recognizing the existence of sensitive sectors in
both countries. The JIEPA would cover areas such as (a) trade
in goods (tariffs and non ·tariff measures, rules of origin, trade
remedies); (b) customs procedures; (c) trade in services; (d)
investment; (e) movement of natural persons; (D government
1
procurement; (g) intellectual property rights; (h) competition
policy; (i) standard and conformance; Q) improvement of
business environment; (k) cooperation; a nd (1) dispute
avoidance and settlement.
4. The two leaders were also firmly convinced of the importance
of the joint work by the government and private sector of both
countries for sector-specific industrial strategies for Indonesia,
with a view to establishing a win-win industrial relationship
throu gh the JIEPA.
5. In addition, the two leaders shared the view that the two
countries need to take into account the progress of negotiations
on the ASEAN-Japan Comprehensive Economic Partnership
Agreement.
2
the Japan-Indonesia Strategic Investment Action Plan (SIAP)
1. On June 2, 2005, H. E.
Junichiro Koizumi, Prime Minister of
J apan, and H. E. Dr. Susilo Bambang Yudhoyono, President of
the Republic of Indonesia, a nnounced the Japan-Indonesia
Strategic Investment Action Plan (SIAP) as a new initiative for
promoting foreign investment, ･ｳ ｰ ｾ｣ｩ｡
ｬ ｹ＠
from J apan, in
Indonesia with the shared understanding that higher and
sustainable economic growth through a substantial increase in
investment is essential for Indonesia to alleviate poverty and
generate jobs .
The SIAP was prepared by the High Level Public/Private
Sector Joint Forum on Investment launched on December 16,
2004, in Jakarta, following two leaders' agreement on the
principle of its establishment in November 2004 in Santiago,
Chile.
2. The two leaders, acknowledging the Indonesian objective of
doubling the volume of foreign investment to Indonesia from
each investing country, including that from Japan, over the
next five years, decided to cooperate under the SIAP to achieve
its objective by improving investment climate in Indonesia
with the President's strong leadership.
3. The SIAP is composed of concrete actions, the list of which is
attached. These actions are subdivided into the following four
areas : tax/customs, labor, infrastructure and industrial
competitiveness/small and medium-sized enterprises.
The two leaders, recognizing some of the progress achieved by
the series of investment-related initiatives introduced by the
President since last October, stressed the importance and
urgency for Indonesia to take actions especially in t hese four
areas.
1
Although the majority of the actions in the SIAP are to be
implemented by the Indonesian government, cooperation from
the J apanese side could facilitate those actions. To this end,
the government of J apan is ready to strengthen cooperation, if
necessary, through Japan International Cooperation Agency
(JICA), J apan Bank for International Cooperation (JBIC) and
Japan External Trade Organization (JETRO). NIPPON
KEIDANREN is encouraged to actively promote Japanese
companies to substantially increase investment in Indonesia.
4. President Yudhoyono explained the priorities for Indonesian
sectoral developments and its investment targets including
infrastructure in the next 5 years. President Yudhoyono
therefore invited Japanese corporations to substantially
increase their investment mainly in supporting industries.
Prime Minister Koizumi proposed that the industrial strategy
of Indonesia be further discussed under the framework of the
SIAP and expressed his willingness to promote bilateral
economic r elations.
5. As for the future work of the Joint Forum, the two leaders
assigned the Planning and Coordination Committee of the
Joint Forum the task of monitoring the implementation of the
SIAP and discussing other important issues such as judicial
reform and capacity building. To enrich the dialogue of the
Joint Forum, an advisory team composed of experts from both
countries will be established within the Planning and
Coordination Committee to conduct policy dialogues.
6. The two leaders stressed that the progress in the SIAP,
together with a prospective bilateral Economic Partnership
Agreement to be negotiated between the two countries, would
further promote our bilateral relations which have been
developed for many years as longstanding close partners in
investment and trade.
2
The Strategic Investment Action Pla n (SIAP)
I . Tax/Customs
· Establishing/Strengthening Self Assessment System(*)
· Reforming VAT system for export promotion
· Strengthening the protection of taxpayers' rights
· Promoting transparency and disclosure for tax administration
·Reforming tax system to reduce real business cost
·Reforming tax system to promote human exchange
· Continuing dialogue on tax
·Reducing administrative obstacles to speed up custom clearance (*)
· Improving work ethic
· Socializing new regulation/law and its interpretation (*)
·Improving EDI system and On-line DGCE official website (*)
· Enhancing effectiveness of bonded warehouse
· Enhancing transparency and fairness
· Other issues indirectly related to custom activities
(*) JICA cooperation is expected for some of the projects.
Il . Labor
· Reviewing the Labor Law and regulations to ensure competitiveness of private companies (*)
·Enforcing the Industrial Relations Dispute Settlement Law properly to solve the disputes
quickly and fairly (*)
· Promoting social system (s) (vocational training, job placement and national certification
system) to create fair, flexible and productive labor market (*)
· Simplifying the procedure to obtain business visa for smooth business activities by
expatriates
·Establishing the practical social secu rity program
(*) J ICA cooperation is expected for some of the projects.
m. Infrastructure
· Enacting a regulatory and policy reform to encourage private investmen t
· Making a concrete national plan
· Having a close communication with investors and other stakeholders
· Imp roving the key infrastructure to promote investment (*)
(*) JICA and JBIC cooperation is expected for some of the projects.
In addition, there is a possibility that some of the respective infrastructure projects may be
supported by the Japanese ODA according to the necessity and eligibility.
IV. Competitiveness/ Small and Medium Enterprises
· Making an industrial strategy for enhancing competitiveness oflndonesia (*)
· Promoting s upporting industry (*)
· Strengthening the investment agency' s role of providing service to investors (*)
· Protecting the intellectual property in the domestic market (*)
·Introducing inte rnationally adopted industrial standard
· Deepening the understanding of EPA by the public (*)
(*) JETRO, JICA or private sector cooperation is expected for some of the projects.
Joint Announcement on the Commencement of Negotiations on
the Japan-Indonesia Economic Partnership Agreement
1. On June 2, 2005, H.E. J unichiro Koizumi, Prime Minister of
J apan, and H.E. Dr. Susilo Bambang Yudhoyono, President of
the Republic of Indonesia, discussed the vital importance of
strengthening the economic partnership through developing a
Japan-Indonesia Economic Partnership Agreement (JIEPA).
The two leaders expressed satisfaction with the existing close
economic a nd strategic relations between the two countries
that have been forged through fruitful cooperation over the
years, and recognized with great appreciation that such close
ties have fostered mut ual economic and strategic benefits and
opportunities for the two countries and their peoples.
2. The two leaders expressed their satisfaction with the report of
the Joint Study Group and shared the view that trade and
investment liberalization and facilitation as well as bilateral
cooperation in various areas would help create a larger market
for Japanese and Indonesian businesses and consumers. The
two leaders expressed their hope that the JIEPA would help
enhance the comprehensive economic partnership between
J apan andASEAN.
0
3. Recognizing the above factors, the two leaders hereby decided
that the governments of the two countries should enter into
negotiations on the JIEPA as soon as possible at the latest by
July 2005 taking into account the ､ｩｳ｣ｵｯ
ｮ ｾ＠
and
achievements gained in the process of the J oint Study Group
and should work expeditiously to conclude the negotiations on
the JIEPA within a reasonable period of time. The two leaders
confirmed that it is necessary to discuss a broad range of areas
a nd to promote liberalization, improvement of rules and
cooperation in accordance with the specific features of
economic relations between the two countries. Both countries
will conduct the negotiations constructively, positively and
with flexibility, recognizing the existence of sensitive sectors in
both countries. The JIEPA would cover areas such as (a) trade
in goods (tariffs and non ·tariff measures, rules of origin, trade
remedies); (b) customs procedures; (c) trade in services; (d)
investment; (e) movement of natural persons; (D government
1
procurement; (g) intellectual property rights; (h) competition
policy; (i) standard and conformance; Q) improvement of
business environment; (k) cooperation; a nd (1) dispute
avoidance and settlement.
4. The two leaders were also firmly convinced of the importance
of the joint work by the government and private sector of both
countries for sector-specific industrial strategies for Indonesia,
with a view to establishing a win-win industrial relationship
throu gh the JIEPA.
5. In addition, the two leaders shared the view that the two
countries need to take into account the progress of negotiations
on the ASEAN-Japan Comprehensive Economic Partnership
Agreement.
2