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description Journal article public Economic Education and Entrepreneurship Journal

Pengaruh Hukum dan Politik terhadap Perkembangan Investasi Asing di Indonesia

Agustian Agustian
Published 2021

Abstract

Indonesia is a country that is rich in natural potential and is the target of the world market. As a developing country and has abundant natural resources that can be used as a source of funds to advance its economy, it is in dire need of assistance from foreign investors, both in terms of funding and management technology. In attracting foreign investors, Indonesia must create a comfortable climate for foreign investors. Because these foreign investors are pretty sensitive to legal and political stability issues and do not want to take risks, the government needs to make policies that make them willing and comfortable to invest their capital. In making these policies, it is inseparable from political members who sit in the state legislature. These legal policies must be able to accommodate the needs of the state for the welfare of its citizens and, on the one hand, must also be able to provide leniency for these foreign investors. Law and politics here are very closely related in influencing the arrival of foreign investors. Politics with a more independent position from the law will determine the direction of policies and legal products taken. Law acts as a product of the current politics.

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