The Indonesian government has revealed a 29 percent rise in materialized foreign direct investment (FDI) in the first quarter of the year, a newspaper reported Thursday.

The Investment Coordinating Board (BKPM) has said the FDI amounted to 2.61 billion U.S. dollars on 226 projects, compared with 2.01 billion dollars on 211 projects during the same period last year, reported The Jakarta Post.

But the rise is lower than the 147 percent growth of actual FDI realized during 2005's first quarter from the same period in 2004.

Actual domestic investment realized between January and March 2006, however, beat previous trends, growing 87 percent to reach 8. 53 trillion rupiah (967.4 million dollars). It had shrunk 46 percent in 2005's first quarter from the same period a year earlier.

Overseas investors, mostly from Japan and South Korea, have mainly invested in the metal works, machinery and electronics sector (30 projects valued at 495.3 million dollars), the paper and printing industry (four at 430.4 million dollars) and the textile industry (12 at 392.2 million dollars).

"Investors are becoming more picky now about where to put their money, more so with the recent rise in global oil prices, which is forcing them to carefully weigh the costs and benefits according to their business plans," the board's deputy head for investment promotion, Darmawan Djajusman, said of the latest data.

"That is why it is important for us to quickly improve the investment climate and promote potential investment places," he said.

Source: Xinhua