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Title: Indonesia-Japan Economic Partnership Agreement (IJEPA): a response to a regime change.
Authors: Siti Tiefryani Fahlyah
Keywords: DRNTU::Business::International business::International economic relations
Issue Date: 2011
Abstract: In August 2007, both Japan and Indonesia signed a comprehensive agreement, called IJEPA - Indonesia-Japan Economic Partnership Agreement. The treaty took its original form from a free trade agreement in World Trade Organization and added some extra provisions, including investment chapter. This chapter consists of measures that generally construct a bilateral investment treaty (BIT), which aims to protect and promote investment. In terms of IJEPA, it provides protection for Japanese investment in Indonesia as well as re-attracts Japanese investor to invest in Indonesia. With the assumption that if the investors convince with the security of investment environment, more investment will flow in, this thesis questions why the Japanese investors need protection from a BIT to invest in Indonesia. Using Dunning's eclectic theory of foreign direct investment (FDI) as the theoretical framework, BIT's objectives as the basic argument, and FDI data to support the observation through comparative analysis on Indonesia before and after the Asian Financial Crisis, this thesis argues that the change of regime in Indonesia has brought insecurity of doing business in Indonesia, particularly for Japanese investors. It brought up uncertainties in Reformasi era and left the familiar New Order era as a mere history. This thesis seeks to contribute to the further assessment of the agreement whether it has succeed to fulfill its task in overcoming the insecurity, as well as to the wider researches on BIT and FDI.
Description: 82 p.
Rights: Nanyang Technological University
Fulltext Permission: restricted
Fulltext Availability: With Fulltext
Appears in Collections:RSIS Theses

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