08/08/2011 (Bernama) - International Trade and Industry Minister Datuk Seri Mustapa Mohamed said serious efforts should be taken by both Malaysian and Indonesian businessmen to step up investments in each other's country.

He said there was excellent market potential for the abundant natural resources existing in both countries if they are explored to the fullest.

"Todate, Malaysian investment in Indonesia amounted to about RM3 billion while Indonesian investment in Malaysia totalled about RM1 billion," he said in a live telecast over BTV, a private television station, here Sunday.

Mustapa, is leading a 30-member delegation to Balikpapan, which includes representatives from the Palm Oil Industry Cluster, Sabah Economic Development and Investment Authority and Kota Kinabalu Industrial Park.

Mustapa said great potential existed for investment expansion especially between East Kalimantan and Sabah as the population in both regions have surpassed five million people.

He said Malaysian businessmen were invited to explore investment opportunities in the coal and, oil and gas sectors in East Kalimantan while Indonesian investors were welcomed to venture into downstream palm oil industries.

East Kalimantan has about 40 million tonnes of coal reserves and is the biggest producer of oil and gas in Indonesia.

Meanwhile, Mustapa was elated that Kaltim Air would fly to Tawau, Kota Kinabalu and Balikpapan mid-August as it will augur well for investments and tourist arrivals in South East Asia.

Earlier, during a meeting with Kaltim Post Group, Mustapa said Malaysia and Indonesia constantly collaborated to counter steps taken by the United States and Europe to discredit palm oil.