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Overview

What projects are set to improve infrastructure in Indonesia?
OBG
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For many years, Indonesia’s sizeable infrastructure gap has hindered industrial development. In Java – the country’s most densely populated island – roads, airports and seaports are under pressure due to the large amount of people and goods that need to be moved. At the same time, Indonesia faces challenges connecting other islands across the vast archipelago. Nevertheless, infrastructure…

Overview

How can Indonesia increase its industrial output?
OBG
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With the largest land mass, population and economy in South-east Asia, Indonesia has considerable potential to become the region’s industrial powerhouse. Nevertheless, with a development model traditionally reliant on the export of natural resources rather than processed goods, the Indonesian industrial sector remains below its potential. Indeed, in terms of output and exports of manufactured…

Overview

E-commerce opportunities in Indonesia's retail market
OBG
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Indonesia’s large and relatively young population, coupled with a fast-growing middle class and high levels of consumer confidence, has been a key driver of expansion in retail and e-commerce. Physical retail spaces remain prevalent, with new malls opening across the country in 2019. Despite the sector’s positive performance in recent years, however, it will face headwinds in the short…

Overview

What drives investment in Indonesia's construction?
OBG
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In the years following the 1997-98 Asian financial crisis Indonesia’s economy experienced robust growth, a result of the commodities boom of 2001-12, spurred in part by the exponential development of both India and China. During this period the country averaged 6% annual GDP growth. However, by 2013 approximately one-third of the government’s budget was being channelled into unprofitable…

Overview

How is Indonesia growing the property market
OBG
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As an economy largely dependent upon private consumption and commodity prices, Indonesia’s property market is sensitive to fluctuations in both areas. Since the Asian financial crisis of 1997-98 Bank Indonesia, the central bank, has been understandably cautious whenever market anomalies are identified. As a result, a deceleration in economic growth in 2014-15, coupled with rising property…

Overview

How Indonesia is decentralising prosperity and investment
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Indonesia is characterised by substantial cultural diversity. The archipelago is made up of more than 17,000 islands, of which 6000 are permanently inhabited by 267m people. Until the turn of the new millennium, centralisation was seen as the best way forward, and economic development policies were strongly skewed towards Indonesia’s main island of Java and the country’s capital Jakarta.…

Overview

Is demand for Indonesia's digital economy growing?
OBG
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The vibrancy of Indonesia’s digital economy is evident in the ubiquity of the green-uniformed Gojek and Grab delivery drivers navigating via mobile device through the streets of its major cities. Indonesia has the largest and fastest-growing ICT market in South-east Asia and presents an enticing opportunity for investors, thanks to demographic and macroeconomic factors, particularly as the…

Overview

How is Indonesia diversifying tourism offerings?
OBG
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Indonesia encompasses over 17,000 islands, spread out over thousands of kilometres between the Indian and Pacific Oceans. With the world’s largest tropical coastline, Indonesia has become a leading tourism destination in South-east Asia. The country’s cultural and natural diversity also offer significant untapped potential, with a population of approximately 268.1m in 2019 who speak over…

Overview

How technology can help small-scale farmers in Indonesia
OBG
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With millions of hectares of arable land across over 17,000 islands, Indonesia’s agriculture sector has long been an integral part of its economy. While its contribution to GDP may have declined in recent years – a result of the growth of other industries amid economic diversification – it remains hugely important, employing roughly one-third of the workforce. Although major companies…

Overview

Private sector investment in Indonesia's health care
OBG
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The health care sector in Indonesia is in the midst of change, with the government making a final push to cement the rollout of universal health care (UHC) against the backdrop of the global Covid-19 pandemic. The plan had initially aimed to bring the population of over 268m under coverage by the end of 2019, but it had yet to achieve targeted levels of funding and coverage as of early 2020.…