Indonesia, officially the Republic of Indonesia, is a country in Southeast Asia and Oceania. Indonesia is an archipelago comprising approximately 17,508 islands. It has 33 provinces with over 238 million people, and is the world's fourth most populous country. Indonesia is a republic, with an elected legislature and president. The nation's capital city is Jakarta. The country shares land borders with Papua New Guinea, East Timor, and Malaysia. Other neighboring countries include Singapore, Philippines, Australia, and the Indian territory of the Andaman and Nicobar Islands. Indonesia is a founding member of ASEAN and a member of the G-20 major economies. The Indonesian economy is the world's seventeenth largest economy by nominal GDP.

 

Having a GDP size of nearly US$ 707 billion in 2010, Indonesia is the largest economy in Southeast Asia. Much less affected by the global financial crisis than its neighboring countries, Indonesia’s economy grew by 4.5% in 2009, 6.1% in 2010 and is expected to reach 6.4% this year, providing a case for Indonesia’s inclusion in the so-called BRIC economies. Future economic expansion is expected to include more inclusive growth as nominal per-capita GDP is expected to quadruple by 2020, according to a Standard Chartered report. A large part of Indonesia's economic success is a result of prudent fiscal stewardship that focused on reducing the debt burden. Indonesia’s debt to GDP ratio has steadily declined from 83% in 2001 to 26% by the end of 2010; the lowest among ASEAN countries, aside from Singapore which has no government debt. As a result, in April 2011, Standard & Poor’s had improved Indonesia’s credit rating to BB+, the last of the three major credit rating agencies to upgrade sovereign debt to one notch below investment grade. The rating reflected Indonesia’s resilience to the global financial crisis, improving government and external credit-metrics, and an ability to manage domestic political challenges to the reform agenda. These achievements have increased the frequency with which Indonesia is being compared to middle-income developing nations like Brazil, India and Mexico. Economically strong, politically stable, reform minded, Indonesia is an emerging global powerhouse in Asia.

 

Underlying Indonesia’s vibrant economy is political stability. A decade ago, many analysts envisaged that certain break-away provinces would bring about Indonesia’s “balkanization”. In 2001, Indonesia embarked on an ambitious and challenging decentralization effort. While it has been challenging journey, today Indonesia is one of the most decentralized countries in the world with substantial funds and authorities devolved to the regions. Significantly, Indonesia is the only country in Southeast Asia that has bucked the trend of a democracy in trouble. Democracy is blossoming in a country that was once ruled with an iron hand for 30 years. Indonesia has gracefully transformed from an authoritarian state to a regional role model. Recently, and for a third time in a row, Indonesia completed another round of peaceful and successful legislative and presidential elections. The election confirmed the people’s confidence in President Susilo Bambang Yudhoyono’s leadership, who won more than 60% votes from 176 million registered voters. President Yudhoyono’s party, Partai Demokrat, controls over 25% of plenary votes, providing him with a stronger mandate to lead Indonesia in the next five years.

Source: Wikipedia, Indonesia Investment Coordinating Board.


General Information
Official Name Republic of Indonesia
Capital Jakarta
Main Cities Jakarta, Surabaya, Bandung, Medan, Semarang, Yogyakarta
Languages Bahasa Indonesia
Government Presidential Republic
Independence Day From Netherland, 17 August 1945
Area 1,919,440 km2
Population 240 million (2010 census)
Currency Rupiah
Climate Tropical
Measures Metric System
Time Zone Western Zone GMT +7, Central Zone GMT +8, Eastern Zone GMT +9
Main Airports Soekarno-Hatta (Jakarta), Ngurah Rai (Bali), Hang Nadim (Batam), Polonia (Medan), Sultan Iskandar Muda (Banda Aceh), Juanda (Surabaya)
Main Harbors Tanjung Priok (Jakarta), Tanjung Perak (Surabaya), Tanjung Mas (Semarang)
Source: National sources,2013
Economic Indicators
  2005 2006 2007 2008 2009 2010 2011 2012
GDP  
Nominal GDP (US$bn) 285.9 364.6 432.2 510.5 540.3 706.2 848 878
Real GDP Growth (%) 5.7 5.5 6.3 6.0 4.5 6.0 6.5 6.2
Expenditure on GDP (% real change)
Private Consumption 4.0 3.2 5.0 5.3 4.9 5.0 4.8 4.8
Government Consumption 6.6 9.6 3.9 10.4 15.7 -2.1 3.2 3
Gross fixed Investment 10.9 2.6 9.3 11.8 3.3 8.4 8.8 9.0
Export of goods & Services 16.6 9.4 8.5 9.5 -9.7 13.1 13.9 12
Import of goods & Services 17.8 8.6 9.1 10.0 -15.0 15.4 13.4 14
Origin of GDP (%real change)
Agriculture 2.7 3.4 3.4 4.9 4.1 4.0 4.2 4.1
Industry 4.7 4.5 4.7 3.7 3.5 3.5 3.5 3.5
Services 7.9 7.3 8.8 8.8 5.7 6.0 6.5 6.2
GDP per capita(US$ at PPP) 3,081 3,314 3,580 3,831 4,009 4,237 4,471 3,675
Recorded Unemployment(av,%) 11.2 10.3 9.1 8.4 7.7 7.5 7.6 7.5
Fiscal Indicator (% of GDP)
Central Government Budget Revenue 17.9 19.1 18.0 19.2 17.2 17.0 17.1 17.0
Central Government Budget Expenditure 18.2 20.1 18.7 19.8 18.8 18.8 18.7 18.5
Central Government Budget Balance -0.4 -1.0 -0.7 -0.6 -1.6 -1.8 -2.1 -2.0
Public Debt 34.5 33.0 31.3 28.3 27.4 25.8 25 25.1
Prices and financial indicators
Exchange Rates Rp:US$ (end-period) 9,830 9,020 9,419 10,950 9,400 9,081 9,011 9,384
Consumer Prices (end period; % change) 17.1 6.6 5.8 11.1 2.8 5.1 5.4 5.6
Stock of money M1(%change) 10.2 28.1 29.7 11.5 15.1 15.5 15.7 15.6
Stock of money M2(%change) 16.4 14.9 19.3 15.0 16.5 17.1 17.3 17.3
Lending interest rate(av.;%) 14.1 16.0 13.9 13.6 14.5 14.5 14.2 14.5
Current Account(US$m)
Trade Balance 17,535 29,661 32,754 22,916 19,681 22,176 26,061 -1659
Goods: exports fob 86,995 103,528 118,014 139,606 116,510 157,779 203,496 190,032
Goods: imports cif -69,463 -73,867 -85,259 -116,690 -96,829 -135,603 -177,435 -191,691
Services Balance -9,123 -9,875 -11,842 -12,998 -14,155 -13,171 -11,822 -13,171
Income Balance -12,926 -13,790 -15,524 -15,156 -15,331 -15,583 -25,667 -20,431
Current-account Balance 277 10,860 10,492 125 10,582 8,711 2,071 3,071
External Debt (US$m)
Debt Stock 132,794 130,800 140,783 147,673 154,932 157,539 192,117 195,411
Debt service paid 16,461 22,931 14,647 16,838 16,973 17,240 18,011 18,271
Principal repayments 12,408 18,635 9,617 11,616 11,868 12,404 13,171 12,341
Interest 4,035 4,296 5,030 5,221 5,106 4,837 5,011 5,175
International reserves(US$m)
Total international reserves 34,731 42,588 56,924 51,641 66,119 78,511 85,117 90,296
Source: IMF, International Financial Statistics 2013
Indonesia Trade with the World
US$ Million 2005 2006 2007 2008 2009 2010 2011 2012
Export (fob) 85,660.0 100,798.6 114,100.9 137,020.4 116,510.0 157,779 203,496 190,032
Import (cif) 57,700.9 61,065.5 74,473.4 129,197.3 96,829.2 135,603 177,435 191,691
Trade Volume 143,360.8 161,864.1 188,574.3 266,217.7 213,339.3 293,382 380,931 381,723
Trade Balance 27,959.1 39,733.2 39,627.5 7,823.1 19,680.8 22,176 26,061 -1,659
World Trade (US$ Bn) 21,058 24,294 27,845 32,215 24,948 28,143 35,397 36,355
Share 0.68% 0.66% 0.67% 0.82% 0.85% 1.04% 1.07% 1.05%
Source: IMF, International Financial Statistics 2013
Indonesia Trade with D-8 Countries
US$ million 2005 2006 2007 2008 2009 2010 2011 2012
Export (fob) 5,733.47 6,933.00 8,968.28 10,847.55 7,727.31 13,978 17,376 17,062
Import (cif) 3,354.93 3,472.81 7,952.02 10,832.39 7,959.90 10,791 14,095 16,637
Trade Volume 9,088.4 10,405.81 16,920.3 21,679.94 15,687.1 24,769 31,471 33,699
Trade Balance 2,378.54 3,460.19 1,016.26 -15,16 -232,59 -3,187 3,281 425
D-8 Intra Trade (US$ Mn) 41,537.19 49,806.52 66,828.03 78,382.2 66,947.63 101,139 129,493 148,191
Share 21.88% 20.89% 25.32% 27.66% 23.43% 24.5% 24.3% 22.7%
Source: IMF, International Financial Statistics 2013
Indonesia Trade By 10 Main Commodities
Export by 10 Principal Commodities, (million US$)
No. Commodity 2006 2007 2008 2009 2010 2011 2012
1. Mineral fuels, oils, distillation products, etc. 27,619.5 29,211.1 39,782.5 32,952.3 46,765.3 68,921.1 63,385
2. Animal/Vegetable fats and oils, cleavage products, etc 6,070 10,226.8 15,624 12,219.5 16,312.2 21,655.1 21,300
3. Electrical, electronic equipment 7,291.41 7,596.2 8,265.8 8,148.1 10,432.5 11,145.4 10,764
4. Rubber and articles thereof 5,529.1 6,248.7 7,637.3 4,912.7 9,373.3 14,352 10,475
5. Ores, slag and ash 4,994.1 5,104 4,295.6 5,804.7 8,148.1 7,342.6 5,082
6. Machinery, nuclear reactors, boilers, etc 4,362.3 4,670.2 5,211.5 4,709.3 5,071.2 5,749.5 6,103
7. Paper & paperboard, articles of pulp, paper and board 2,805.3 3,328.1 3,737.5 3,357.3 4,186.2 4,169.3 3,937
8. Articles of apparel, accessories, not knit or crochet 3,374.7 3,314.4 3,400 3,132.8 3,611.1 4,149.6 3,744
9. Copper and articles thereof 1,904.4 2,731.7 2,202.4 2,367.1 3,305.8 3,810.6 2,232
10. Wood and articles of wood, wood charcoal 3,355.6 3,128.2 2,879.8 2,341.2 2,936 3,375 3,448
Import by 10 Principal commodities, (million US$)
No. Commodity 2006 2007 2008 2009 2010 2011 2012
1. Mineral fuels, oils, distillation products, etc 19,041.3 22,017.8 30,682.3 19090.3 27,530.7 40,840.2 42,764
2. Machinery, nuclear reactors, boilers, etc 7,403.6 9,518.6 18,305 14,724 20,506.1 24,728.8 28,429
3. Electrical, electronic equipment 3,107.8 4,642 14,188.4 11,087.7 15,089.4 18,245.2 18,904
4. Vehicles other than railway, tramway 2,447 2,778.7 6,655.6 3,886.5 7,377.2 7,602.8 9,757
5. Iron and Steel 2,865.1 4,175 8,281.8 4,356.6 6,371.5 8,580.5 10,138
6. Organic chemicals 3,439.2 3,881.2 5,132.4 3,940.4 5,325.8 6,634.8 6,883
7. Plastics and articles thereof 1,855.7 2,195.2 3,949.7 3,216.1 4,827.1 6,687.5 6,990
8. Aircraft, spacecraft, and parts thereof 971.3 1,607.3 2,036.9 3,241.4 3,528.1 3,420.8 4,494
9. Articles of iron or steel 1,261.7 1,370.1 3,335.1 2,784.0 3,451.1 3,573.3 4,889
10. Cotton 782.4 953 1,991.6 1,476.1 2,232.1 3,169.1 2,513
Source: WTO, International Trade Centre 2013
Export and Import by Main Destination Country
Export by Main Destination Country (% of total)
2005 2006 2007 2008 2009 2010 2011 2012
Japan 21.1 21.6 20.7 20.2 15.9 16.3 16.6 15.9
China 7.8 8.3 8.5 8.5 9.9 9.9 11.3 11.4
United States of America 11.5 11.2 10.2 9.5 9.3 9.1 8.1 7.8
Singapore 9.1 8.9 9.2 9.4 8.8 8.7 9.1 9
Republic of Korea 8.3 7.6 6.6 6.7 7 8 8.1 7.9
India 3.4 3.4 4.3 5.2 6.4 6.3 6.6 6.6
Others 38.8 39 40.5 40.5 42.7 41.7 40.2 41.4
Source: WTO, International Trade Centre 2013
Import by Main Destination Country (% of total)
2005 2006 2007 2008 2009 2010 2011 2012
Singapore 16.4 16.4 13.2 16.9 16.1 14.9 14.6 13.6
China 10.1 10.9 11.5 11.8 14.5 15.1 14.8 15.3
Japan 12 9 8.8 11.7 10.2 12.5 11 11.9
United States of America 6.7 6.7 6.4 6.1 7.3 6.9 6.1 6.1
Malaysia 3.7 5.2 8.6 6.9 5.9 6.4 5.9 6.4
Republic of Korea 5 4.7 4.3 5.4 4.9 5.7 7.3 6.2
Others 43.1 47.1 47.2 41.2 41.1 38.5 40.3 40.5
Source: WTO, International Trade Centre 2013
Foreign Direct Investment (Overview, selected years)
US$(Mn.) FDI Flows FDI Stocks
2005 2006 2007 2008 2009 2010 2011 2012 2005 2006 2007 2008 2009 2010 2011 2012
Inward 8,336 4,914 6,928 7,919 4,877.4 13,771 18,906 19,853 41,187 54,534 79,927 72,228 108,796 160,735 185,804 205,656
Outward 3,065 2,726 4,675 5,900 2,249 2,664.2 7,771 5,423 ---- 1,042 3,194 2,802 3,913 6,672 6,203 11,626
Source: UNCTAD, 2013
Agriculture: Food Commodities
US$ Mn 2008 2009 2010 2011 2012
Export 17,093.3 13,416.6 17,955.1 18,325 19,012
Import 4,879.7 4,170.5 6,221.1 8,234 9,171
Trade Volume 21,973 17,587.1 24,176.1 26,559 28,183
Trade Balance 12,213.6 9,246.1 11,734 10,091 9,841
Indonesia's Total Trade 250,626.8 213,339 293,382 380,931 381,723
Share to Indonesia's Total Trade 8.77% 8.24% 8.24% 7% 7%
Source: WTO,FAO 2013
Energy
Oil
Petroleum(Thousand Barrels per Day) 2006 2007 2008 2009 2010 2011 2012
Total Oil Production 996 972 1003 990 986 995 997
Consumption 1,240 1,270 1,264 1,289 1,304 1,375 1,417
Refinery 1,133 1,157 1,068 1,106 1,158 1,161 1,161
Proved Reserved(Billion barrels) 4.4 4.0 3.7 4.3 4.2 4.3 4.3
Natural Gas
Natural Gas(Billion Cubic Feet/Day) 2006 2007 2008 2009 2010 2011 2012
Total Production 6.8 6.5 6.7 7.0 7.9 8.3 8.2
Consumption 3.2 3.0 3.2 3.6 3.9 4.2 4.1
Proved Reserved(Trillion cubic meters,TCM) 2.6 3.0 3.2 3.0 3.1 3.2 3.2
Others Energy
Energy Year
2008 2009 2010 2011 2012
Biofuels production (Thousand barrels daily) 3.47 4.34 5.75 6.01 6.1
Electricity Generation (Terawatt-hours) 11.5 11.4 11.4 11.5 11.5
Renewable Energy (Installed Capacity) Geothermal (mega-watts) 1,060 1.189 1,189 1,190 1,190
Solar (maga-watts) - - - - -
Wind (mega-watts) - - - - -
Source: BP statistics, 2013