Press Releases, 9/12/2006
Minister Lehtomäki signed the new Finnish–Indonesian agreement on promotion and protection of investments
Press release 357/2006
12 September, 2006
At an event held today in Helsinki, Paula Lehtomäki, Minister for Foreign Trade and Development, signed the new agreement on reciprocal promotion and protection of investments between Finland and Indonesia. The agreement was signed for Indonesia by Mari Elka Pangestu, the country’s Minister of Trade. Tarja Halonen, President of the Republic of Finland, and Susilo Bambang Yudhoyono, President of the Republic of Indonesia, honoured the event with their presence. When it comes into force, the new agreement will replace the one made in 1997.
The new agreement takes account of the central principles on treatment and protection of foreign investments incorporated into it today and in view of promoting Finnish investments and Indonesia’s economic potential, it is a significant improvement on its predecessor. Especially important is that the agreement ensures Finnish investors in Indonesia at least equally good treatment as is granted to the country’s own investors or to investors from other countries.
The agreement now negotiated is also a sign that Indonesia strives to develop the country’s investment climate to make it more favourable for investments from abroad, including from Finland – investments which haven’t yet returned to the level prevailing before the Asian economic crisis of the late 1990s.
While the new agreement strives to promote Finnish investments in Indonesia, the hope also is that it will increase Indonesian investors’ interest in the investment possibilities offered by Finland.
Finland now has in force agreements on the promotion and protection of investments with 52 countries. Of South-East Asian countries, Finland has in force agreements with the Philippines (dated 16 April, 1999), Malaysia (3 January, 1988), Thailand (18 May, 1996) and Vietnam (2 May, 1996). All of these agreements are grounded in the same base as the old agreement between Finland and Indonesia.
Additional information: Commercial Counsellor Kimmo Sinivuori, tel. +358 9 1605 6167, e-mail: firstname.lastname@example.org