Abstract
The economic growth in Indonesia is thrive. The Economic growth can not be separate of the role of investment in Indonesia. The population in Indonesia very much and also the location of the Indonesian state strategic pretty much made Indonesia enjoyed by citizens of Indonesia itself and also foreign nationals who wish to also invest in Indonesia. In Indonesia there is a domestic investment and foreign investment. In this paper will be devoted to foreign investment. Foreign investment that currently exist in Indonesia has a sizeable amount and spread from Sabang to Merauke, and also has a fairly diverse business fields. The investors who come in and make an investment in Indonesia is sometimes caused the dispute. Dispute occurs either the foreign investment by government or also foreign investment with other parties outside the government well with other foreign investment, and also in the company itself. Foreign investment dispute settlement is not only done through the court owned by the government, but there are also ways of alternative dispute resolution outside the court . One of the alternative dispute resolution outside the court is Arbitration. Arbitration carried out as part of efforts to achieve settlement of the problem in terms of investment activity . Arbitration itself is set in the legislation applicable investment in Indonesia . The parties in capital investment may create a separate section in the agreement governing the settlement of disputes in the case of investments completed by Arbitration. In the event that the parties have arranged to settle the case with Arbitration, then the court is not allowed to try again or to interfere in the decision Arbitration. Arbitration is one of the solutions if justice denial occur in the settlement of foreign direct investment issue.
Highlights
Projections for 2015 and 2016 assume that the new government’s reform momentum can survive, and the government to follow up the momentum by policies to accelerate infrastructure development, improving the investment climate, lower logistics costs, and encourage the uptake of the budget
The growth of gross domestic product (GDP)1 is expected to improve to 5.5% this year and 6.0% in 2016.2
Indonesian economy first quarter of 2015 against the previous quarter fell by 0.18 percent (q-to-q)
Summary
Projections for 2015 and 2016 assume that the new government’s reform momentum can survive, and the government to follow up the momentum by policies to accelerate infrastructure development, improving the investment climate, lower logistics costs, and encourage the uptake of the budget. It is interesting to study, because the wisdom of foreign capital is to increase the potential for export and import substitution, so that occurs the transfer of technology and knowledge transfer that can accelerate the pace of Indonesia’s development, creating jobs and employment, can create demand for domestic products as raw materials, can increase the state income tax sector, can increase capital accumulation, giving birth to new experts, improving the quality of human resources and increase knowledge and open access to global markets Seen from this perspective it appears that the presence of foreign investors is quite a role in the economic development of a country.. Some countries that have an interest in attracting investors such as China, Vietnam, India and several ASEAN countries (Malaysia, Thailand and the Philippines) and the countries of Latin America has many advantages, even beyond Indonesia, as labor is cheaper in India, Vietnam and the PRC. -Mainstay was further weakened due to the fact that world markets become more open and more advanced international trade negotiations and incessant efforts to repeal various protection systems.
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