Sri Mulyani: Tax holiday brings IDR 8 quadrillion investment
JAKARTA – Sri Mulyani Indrawati, the Minister of Finance, stated that various fiscal support measures, such as tax holiday incentives, have been provided to attract investors to the country, resulting in an investment realisation of approximately IDR 8,267 trillion.
"These fiscal support measures are aimed at boosting growth and productivity, including attracting more investments, as we provide to many strategic, important, and innovative industries," she said during the Mandiri Investment Forum (MIF) 2025 on Tuesday (11/2).
She explained that there are several tax facilities granted to investors, such as the tax holiday, tax allowance, investment allowance, special economic zones, supertax deduction for vocational training, and supertax deduction for research and development (R&D).
The Minister of Finance went on to explain that the tax holiday, which has been in place since 2011 and will last until November 2024, has been granted to 221 taxpayers, with the total investment value reaching approximately IDR 421 trillion and USD 479 billion (equivalent to IDR 7,846.02 trillion, using an exchange rate of IDR 16,380 per USD).
Meanwhile, the tax allowance, which has been available since 2007 until November 2024, has been utilised by 234 taxpayers, with the resulting investment amounting to IDR 90.35 trillion and USD 8.5 billion.
The investment allowance policy, implemented from 2020 to 2024, has been utilised by eight investors, with a total investment of IDR 2.67 trillion and USD 18.6 billion.
The ministry also provides superdeduction (supertax deduction), particularly for companies that offer workforce training, which has benefited 86,065 workers across 857 vocational institutions. The projected benefit from this programme is IDR 1.25 trillion.
In addition, the government has provided a supertax deduction from 2020 to November 2024 for 29 taxpayers. The research and development activities have focused on 9 areas with 38 themes.
"More than IDR 1.46 trillion in innovation and research output has been eligible for superdeduction benefits by 29 taxpayers," she said. (DK/ZH)