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VOL. 11, ISSUE 10 (2025)
The role of investment law in Economic growth in Indonesia
Authors
Visit Ida Rahayu
Abstract
Economic growth is synonymous with social welfare. The preamble to the Constitution of the Republic of Indonesia states that social welfare is a noble ideal for the Indonesian people. One form of state responsibility for social welfare through investment will make a significant contribution to a country's economic growth, because investment will encourage the development of overall economic activity, both domestic and foreign investment serve as a reference or parameter in terms of income that can be obtained, especially for regions of the country that are experiencing development and can have a significant impact on the development process. This study aims to analyze the arrangement of investment regulations in Indonesia through the Omnibus Law, and to understand the role of economic law on national economic growth. The results show that the Omnibus Law, however, provides legal certainty from a regulatory perspective, but does not necessarily provide legal certainty from a law enforcement perspective. Therefore, it is necessary to examine that indeed if the omnibus law product can be comprehensive and cover all permits, it will greatly help change the investment climate in Indonesia. However, an equally important key is that these regulations are understood by the regions and implemented consistently. Investment has a broader impact than just the rules or regulations that govern it. Investment has a significant influence on various aspects of life, especially in the economic context. Investment plays a crucial role in economic growth and development, especially for developing countries. Foreign investment, in particular, has a significant impact on economic growth, while domestic investment may have a more limited impact.
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Pages:40-44
How to cite this article:
Visit Ida Rahayu "The role of investment law in Economic growth in Indonesia". International Journal of Law, Vol 11, Issue 10, 2025, Pages 40-44
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