IMD survey results published in the World Competitiveness Report 2006 show that, based on economic performance, government efficiency, business environment efficiency and the infrastructure in Indonesia, our country is positioned at 60th out of 61 countries (See Table 2). Meanwhile, a World Bank survey on investment supporting factors shows that Indonesia has dropped to 135th place in 2006; from 131st in the previous year.
8  BIS Review 9/2007  The tribulations I have just mentioned, compounded by the passage of time, have caused a slower accumulation of capital, reflected by a stagnant investment growth, and a contraction in the share of investment in GDP (See Graph 8a), as well as a significant reduction in the quality of capital in the economy (See Graph 8b).