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Economy

China overtakes Japan in Indonesia direct investment

Chinese money flowing into the country grew fivefold from a year ago

JAKARTA -- China overtook Japan as the second largest foreign direct investor in Indonesia in the fourth quarter of 2016, highlighting its growing clout in Southeast Asia's largest economy.

But signs of instability in domestic politics, regulatory changes and a stronger U.S. dollar are set to test China's appetite in 2017.

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