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Investments to Riau created more than 10,000 jobs in Q1 2025

WINDONESIA May 15, 2025 (Freepik)

Riau Investment and One-Stop Integrated Services Office (DPMPTSP) Head Helmi revealed that realized investments to Riau Province surged 19.92 percent from Rp18.04 trillion in the fourth quarter (Q4) of 2025 to Rp21.63 trillion in the first quarter (Q1) of 2025. However, the figure is also a contraction of 14.47 percent year-on-year (yoy), as realized investments to the province reached Rp25.59 trillion in Q1 2024.

Domestic investments dominated most investments to Riau during the period, making up Rp18.04 trillion, while foreign investments to the province reached USS$224.56 million (about Rp3.59 trillion) in Q1 2025. Domestic investments to Riau soared by 114.44 percent quarter-to-quarter (qtq) from Rp8.41 trillion in Q4 2024, but declining by 2.78 percent yoy compared to Q4 2024. Moreover, foreign investments to the province dropped sharply by 46.66 percent yoy and 62.67 percent qtq.

"Investment realization in Q1 of this year has reached 22.77 percent of the Rp95 trillion annual target. This is a positive signal for Riau's economic growth," Helmi stated on Apr. 30, 2025.

During this period, the Riau DPMPTSP also recorded the employment of 11,410 Indonesian workers and 39 foreign workers.

Helmi added that Riau's achievement was the result of close cooperation between the Riau Provincial Government with the Investment Coordinating Board (BKPM), related ministries and institutions, as well as regencies and city governments in overseeing investment projects.

The regions with the five largest contributions to overall investments towards Riau are Kampar Regency with Rp11.23 trillion, Pelalawan Regency with Rp2.11 trillion, Siak Regency with Rp1.63 trillion, Kuantan Singingi Regency with Rp1.38 trillion, and Pekanbaru City with Rp1.32 trillion.

The business sector with the highest contributions is the transportation, warehouses, and telecommunications sector with Rp10.58 trillion. It is followed by the food crops and plantations sector with Rp2.44 trillion, the food processing sector with Rp2.13 trillion, the forestry sector with Rp1.98 trillion, as well as paper and printing industry with Rp1.25 trillion.

The five countries with the highest contribution towards foreign investments to Riau are Bermuda, Singapore, Malaysia, British Virgin Island, and the Philippines.

In addition to pursuing investment targets, the Riau Provincial Government is also actively encouraging partnerships between large businesses and micro, small, and medium enterprises (MSMEs). In Q1 2025, a partnership was established between eight large businesses and 35 MSMEs run by people with disabilities with an agreement value of Rp309.75 million and employing 184 workers.

"This partnership pattern has proven effective in developing MSMEs and creating jobs. In the past few years, 950 MSMEs have partnered with 48 large businesses with an agreement value of Rp37.7 billion and employing 2,606 workers," said Helmi.

On a national scale, Riau is in 8th place for total national investment realization, 4th for realized domestic investments, and 15th for realized foreign investments. The province is also first overall in terms of investment realization for the Sumatra region.

Source: sumatra.bisnis.com

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