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This research chooses a topic about the foreign investment North Sumatra is trough sociology- empirical and yuridicial normative study.
The existing foreign investment in providing fund/ development financial is due to constitute following Indonesian experiencing a decline of development funds as originally relies on fuel and natural gas sector. Sharply decline price of oil on decade 1980s, results the Indonesia changed the policy of providing development funds over tax setor. But, this sector still unable to meet the requirement for development continuously need funds.
The other alternative possibly to undergo is by re-encourage the foreign investment. Therefore, the government is through a Government Regulations No. 20 of 1994, to re-simplify a deregulation about foreign investment. For North Sumatra case particularly however, issuing the deregulation even does not influence growth quantitatively og investment in North Sumatra. Moreover for a period 1944-1995, in fact occured adding just only 1 foreign investment, a rate is far under averagely for a similar periode of previously years.
In fact, problem to encourage the presence of foreign investment in North Sumatra is not related to the juridical case only, but furtherly also on bureacracy case and a policy is inconsistent between each department.
and
Beside it, the Central Government, Provincial Tk. I government and local Tk. II government, having own its Beside policy. the that factor, structural bureacracy barries as well as its law habits of taker decision is persistently a mainly barrier factor in encouraging the presence of foreign investment in North Sumatra region.
The strategy can be taken, perhaps is by re- simplify the regulation in investment for the bureacracy chain could be cut off and find a consistency in all policy starting form central level up to its local government level. | en_US |
