Jakarta. Ford Motor's decision to close all operations in Indonesia will bring little impact on investment in the local automotive industry, according to a top official at the Investment Coordinating Board, or BKPM.

"Ford Motor Indonesia's decision to stop its activity in Indonesia is not a signal of a less appealing investment in the automotive sector," BKPM chief Franky Sibarani said in a statement on Tuesday.

"Until now, the company has not submitted a license revocation to the BKPM."

Ford Motor's license in Indonesia only covers the right in large trade, import, sales, automotive repair and maintenance service. It does not include the right to produce vehicles, he said.

BKPM remains confident that investment in Indonesia's automotive industry will continue to grow.

In 2015, investment realization in transportation means – which include automotive industry –reached Rp 23.57 trillion ($1.69 billion), up 6.5 percent compared to the same period a year earlier.

Meanwhile, foreign investment in the local automotive industry alone – including sales and repair services – grew 13 percent last year to Rp 21.6 trillion.

Ford Motor said on Monday it will close all operations in Indonesia and Japan –  including shuttering dealerships and stopping sales and imports – by the end of 2016 amid unprofitable business.

The company's executives confirmed it was a "hard business decision" to retreat all of its operations in Indonesia."

Bagus Susanto, Ford Motor Indonesia managing director, said in a statement that despite stopping all Ford car sales and imports to the country, customers can still purchase Ford vehicles and enjoy the company's services this year.

"Ford is still committed to ensuring the continuity of service support, spare parts and guarantees these even after Ford stops its operation in Indonesia," said Lea Kartika Indra, Ford Motor Indonesia communications director.