Foreign Direct Investment, Indeks Kemudahan Berusaha, Dan Tarif Pajak Penghasilan Negara-Negara ASEAN

Abstract

The inflow of Foreign Direct Investment is needed by all countries in the world to
be used as a catalyst to achieve the goals of sustainable development in all
aspects of a country's life. Countries in the Southeast Asia Region that are
members of ASEAN also need Foreign Direct Investment. The success of a
country in attracting Foreign Direct Investment inflows is determined by many
factors, including the ease of doing business and the income tax rate. In this
study, a comparative study was conducted between the success of ASEAN
countries in obtaining Foreign Direct Investment inflows with the success of
achieving a high index of ease of doing business and the use of competitive
income tax rates. The comparison was only made between 10 ASEAN member
countries from 11 ASEAN member countries, because of the difficulty in collecting data from 1 other ASEAN member country, namely Timor Leste. The results showed that Singapore succeeded in attracting the largest Foreign Direct
Investment inflows among other ASEAN countries, amounting to 59.10% of the
total Foreign Direct Investment inflows from ASEAN countries. Singapore's
success in attracting the largest Foreign Direct Investment inflow among other
ASEAN countries is directly proportional to its achievement in obtaining the best
ease of doing business index and the lowest income tax rate compared to other
ASEAN countries. Meanwhile, for other ASEAN countries, there is no visible
comparison between the success of obtaining Foreign Direct Investment with the
ease of doing business index and the Income Tax rate.