Analisis Pengaruh Suku Bunga, Inflasi, Dan Nilai Tukar Terhadap Investasi Asing Di Jawa Tengah Tahun 1990-2016

This study entitled "Analysis of Influence of Interest Rate, Inflation, and Exchange Rate to Foreign Investment in Central Java Year 1990-2016". This study aimed to analyze and know how much influence the interest rates, inflation, and exchange rate on the value of foreign investment in the province of Central Java in 1990-2016. In this study used secondary data that is time series dara year 1990-2016, that is data of value of foreign investment in central Java Province, interest rate, inflation, and exchange rate. The analytical method used is the regression Error Correction Model (ECM). The result of the analysis shows that the variable of interest rate has a positive and significant influence to foreign investment in Central Java either in 2 short and long term, exchange rate variable also has a positive and significant influence to foreign investment in Central Java either in short and long term. Therefore, the inflation variable has a negative and significant influence in the short and long term to foreign investment in Central Java. In an effort to increase the value of foreign investment in Central Java, it is expected that there will be a big contribution from the government to control the interest rate, inflation, exchange rate and ease investment permit. so as to attract foreign investors to invest in Central Java. The greater the value of foreign investment in Central Java will have an impact on increasing economic growth and the expansion employment in Central Java