MOTORINDIA exclusive interview with Mr. Saut Siringoringo, Consul General of the Republic of Indonesia, Mumbai
Indonesia, with its huge population, is one among the largest economies in South-East Asia. The country could manage to recover from the Asian crisis, thanks to its growing commodity exports over the last decade.
Among the friendly neighbouring nations, Indonesia is one of India’s successful partners for progress with several common features. The two countries follow a common ideology with respect to religion or culture, as also population and traffic growth-wise. The bilateral trade between the two countries has reached a level of $17 billion, and with the opening up of the economy by both, the mutual trade is expected to grow substantially in the coming years.
This point was emphasised by Mr. Saut Siringoringo, Consul General of the Republic of Indonesia, Mumbai, in an exclusive interview to MOTORINDIA.
He said that ever since Indonesia became a gateway for the ASEAN region, it has proved itself an attractive destination for investments in different sectors, including automobiles. The country has already emerged one of the leading producers of two-wheelers, and with attractive Government investment policy initiatives, it is aiming to become one of the major global automotive hubs. Under the new Government, several key initiatives have been announced in order to simplify the licensing procedure and to make the overall policy approach more transparent.
Mr. Saut Siringoringo disclosed that the Indian automotive companies like the Minda Group, Rolon Seals, Advik Hi-Tech and Brakes India which have set up operations in Indonesia are now faring very well. Besides, major Indian vehicle manufacturers like Tata Motors, Mahindra & Mahindra and Bajaj Auto are exporting their vehicles to Indonesia with steady growth. Considering the phenomenal growth opportunities in the country, more Indian companies are planning a foray into the market.
Investing for the future
It is officially learnt that the World Bank’s financing arm, the International Finance Corporation, and eight foreign banks are to channel syndicated loans of $150 million for Indonesia Infrastructure Finance (IIF) which is responsible for the country’s infrastructure projects.
The IIF, a partly State-owned non-banking financial body, expects to fully disburse the syndicated loans by the end of the year to independent power plant projects with solar- or hydro-based fuel and toll roads.