Investment Coordinating Board (BKPM) head Franky Sibarani said investment in labour-intensive industries would probably increase, if the government could soon settle land issues and grant allowances on income tax.

“While a number of factors have attracted investment commitments in the labour-intensive sector … there are still some hurdles in actualising those commitments,” he said at a press conference.

He said his agency would focus on pushing the government to provide immediately a definitive regulatory framework on land booking and tax allowances for labour-intensive industries.