"Indonesia needs to balance its closeness between China and the United States. Inevitably, Indonesia should be more proactive," observer from Padjadjaran University, Teuku Rezasyah, said.
Jakarta (ANTARA News) - The Indonesian government needs to balance its close relationship with China and the United States to safeguard its economic interests, an international relations observer from Padjadjaran University, Teuku Rezasyah, said here on Friday.

"Indonesia needs to balance its closeness between China and the United States. Inevitably, Indonesia should be more proactive," Reza added.

According to him, the Indonesian government should begin to approach the United States to encourage the US investors to invest in the development projects in Indonesia.

"If China enjoys certain facilities in obtaining contracts in Indonesia, we have to invite the US also to participate in the infrastructure development projects in Indonesia," he advised.

According to Reza, China has a very large role as an investor country in Asia, particularly in Indonesia. However, he considered that the investment made by China for the long term is not as good as the one made by the United States or the European Union countries.

"China has many giant projects in Asia, like the Bandung-Jakarta rapid train. However, Chinese investment companies are not as prudent as American companies," he noted, adding that the technologies applied by China are not better than what the US firms deploy.

The Indonesian government should begin to attract US investors by adopting a more balanced approach, because lately, Indonesia is perceived as preferring China when it comes to economic relations.

"In the US view today, Indonesia is too tilted towards China in business affairs. Indonesias ambassador in Washington has to conduct economic diplomacy to convince business circles in the US that Indonesia wants to balance its economic relations with China and the US," Reza explained.

Furthermore, according to him, the Indonesian government should be able to offer certain business facilities to attract US investors. These could be in the form of ease of licensing, cost-effective human resources as well as a guarantee of security and stability in the country.

"We also have to convince the US investors that Indonesia will carry out proper management and the security of the company will remain high," Reza added.(*)

Editor: Heru Purwanto
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