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Indonesia Regions
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Papua & Maluku
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Papua province was awarded special autonomy status in 2002, giving it additional rights in terms of its share of finances from the national government. It is home to the world’s largest gold and copper mine, operated by PT Freeport Indonesia.
Special autonomy also allowed for the creation of the Papuan People’s Council (MRP), which has responsibility for cultural and social issues. With a total land area of 421,981 sq. km. and a population of only 2,795,182, Papua is one of the most sparsely populated regions of Indonesia.
Development challenges in Papua are complicated by the tribal nature of a large part of the indigenous population. While educated Papuan leaders are in charge of all regional government tasks, led by Governor Barnabas Suebu, educational and other public services in many areas need attention. The governor has committed his administration to boosting public services during his term in office.
There is an abundance of natural resources, many which offer potential business opportunities but which have yet to be exploited. Many areas of the province are suited to the development of plantations, and great expanses of forest offer opportunity for well-managed, sustainable forest operations. Marine fishing is also in need of development. The province’s remarkable biodiversity and the challenging terrain, with mountains rising up to 4,884 meters at Mt. Jayawijaya, offer enormous scope for tourism.
West Papua formally separated from Papua in February 2006, initially as West Irian Jaya but later renamed West Papua, and is centered on the city of Manokwari. There is enormous untapped potential for agriculture, plantations, mining and fishing industries.
Maluku has recovered from a period of political instability and is concentrating on the re-building of infrastructure and facilities. Famous historically as the Spice Islands, plantations have a great future in Maluku and the neighboring province of North Maluku. As a region with abundant maritime resources, the future of marine investments looks highly promising. Maluku’s potential in fish production is expected to reach 1,627.500 tons and remains under-exploited, with a huge area to the north between Indonesia and the Philippines largely untouched. Extensive forest areas contain vast amounts of timber available to be processed by investors.
North Maluku in particular contains significant mineral deposits, and state-owned PT Aneka Tambang is currently considering development of a nickel laterite resource in a joint venture with BHP Billiton. |
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