Jakarta. The Netherlands has moved up ranks to become the third-largest source of foreign investment for Indonesia in the second quarter of the year.

Investment Minister Bahlil Lahadalia said on Tuesday the Netherlands has materialized investments worth $1.1 billion or 13.8 percent of around $8 billion in Indonesia's overall foreign direct investment flow of the quarter.

“This is interesting that the Netherlands has surpassed Japan as the third-largest foreign investor,” Bahlil said in a video conference in Jakarta.

The current Dutch investments demonstrate a dramatic rise from just $176.7 million in the previous quarter, when the country was ranked ninth among Indonesia’s main investment partners, according to data from the Investment Coordinating Board (BKPM).

Singapore remains Indonesia’s biggest investment partner with $2.1 billion, representing 26.4 percent of overall Q2 FDI figures in Indonesia, said Bahlil, who also heads the BKPM.

Coming second is Hong Kong with $1.4 billion of investment or 18.1 percent.

Japan and mainland China are still among Indonesia’s five biggest investors with a share of 9 percent and 8 percent, respectively.

Most of FDI flows went to metal industry, mining, transportation, telecommunication, utilities, housing, industrial estate and office building, according to the BKPM.

Throughout the first half of the year, Indonesia has received $15.65 billion in FDI directed at more than 19,000 projects across the archipelago.

The top ten investment partners in the period include Singapore ($4.7b), Hong Kong ($2.3b), China ($1.7), the Netherlands ($1.3b), South Korea ($1.1b), Japan ($1b), the United States ($799m), Malaysia ($707m), Switzerland ($497m) and Thailand ($319m).

Despite the Covid-19 pandemic, FDI realization in Indonesia has shown a steady rise since the second quarter of 2020, when it was valued at $6.8 billion.

The latest quarterly FDI of $8 billion is on track to surpass an equaling record $8.3 billion in the third and fourth quarter of 2017.