Indonesia Economy - 2021

Economic overview

Indonesia, the largest economy in Southeast Asia, has seen a slowdown in growth since 2012, mostly due to the end of the commodities export boom. During the global financial crisis, Indonesia outperformed its regional neighbors and joined China and India as the only G20 members posting growth. Indonesia’s annual budget deficit is capped at 3% of GDP, and the Government of Indonesia lowered its debt-to-GDP ratio from a peak of 100% shortly after the Asian financial crisis in 1999 to 34% today. In May 2017 Standard & Poor’s became the last major ratings agency to upgrade Indonesia’s sovereign credit rating to investment grade.

Poverty and unemployment, inadequate infrastructure, corruption, a complex regulatory environment, and unequal resource distribution among its regions are still part of Indonesia’s economic landscape. President Joko WIDODO - elected in July 2014 – seeks to develop Indonesia’s maritime resources and pursue other infrastructure development, including significantly increasing its electrical power generation capacity. Fuel subsidies were significantly reduced in early 2015, a move which has helped the government redirect its spending to development priorities. Indonesia, with the nine other ASEAN members, will continue to move towards participation in the ASEAN Economic Community, though full implementation of economic integration has not yet materialized.

Real GDP growth rate

5.03% (2019 est.)

5.17% (2018 est.)

5.07% (2017 est.)

Inflation rate (consumer prices)

2.8% (2019 est.)

3.2% (2018 est.)

3.8% (2017 est.)

Credit ratings

Fitch rating: BBB (2017)

Moody's rating: Baa2 (2018)

Standard & Poors rating: BBB (2019)

Real GDP (purchasing power parity)

$3,196,682,000,000 (2019 est.)

$3,043,743,000,000 (2018 est.)

$2,894,125,000,000 (2017 est.)

note: data are in 2010 dollars

GDP (official exchange rate)

$1,119,720,000,000 (2019 est.)

Real GDP per capita

$11,812 (2019 est.)

$11,372 (2018 est.)

$10,936 (2017 est.)

note: data are in 2010 dollars

Gross national saving

31% of GDP (2019 est.)

31.8% of GDP (2018 est.)

30.9% of GDP (2017 est.)

GDP - composition, by sector of origin

agriculture: 13.7% (2017 est.)

industry: 41% (2017 est.)

services: 45.4% (2017 est.)

GDP - composition, by end use

household consumption: 57.3% (2017 est.)

government consumption: 9.1% (2017 est.)

investment in fixed capital: 32.1% (2017 est.)

investment in inventories: 0.3% (2017 est.)

exports of goods and services: 20.4% (2017 est.)

imports of goods and services: -19.2% (2017 est.)

Ease of Doing Business Index scores

Overall score: 69.6 (2020)

Starting a Business score: 81.2 (2020)

Trading score: 67.5 (2020)

Enforcement score: 49.1 (2020)

Agricultural products

oil palm fruit, rice, maize, sugar cane, coconuts, cassava, bananas, eggs, poultry, rubber

Industries

petroleum and natural gas, textiles, automotive, electrical appliances, apparel, footwear, mining, cement, medical instruments and appliances, handicrafts, chemical fertilizers, plywood, rubber, processed food, jewelry, and tourism

Industrial production growth rate

4.1% (2017 est.)

Labor force

129.366 million (2019 est.)

Labor force - by occupation

agriculture: 32%

industry: 21%

services: 47% (2016 est.)

Unemployment rate

5.31% (2018 est.)

5.4% (2017 est.)

Population below poverty line

9.4% (2019 est.)

Gini Index coefficient - distribution of family income

37.8 (2018 est.)

39.4 (2005)

Household income or consumption by percentage share

lowest 10%: 3.4%

highest 10%: 28.2% (2010)

Budget

revenues: 131.7 billion (2017 est.)

expenditures: 159.6 billion (2017 est.)

Taxes and other revenues

13% (of GDP) (2017 est.)

Budget surplus (+) or deficit (-)

-2.7% (of GDP) (2017 est.)

Public debt

28.8% of GDP (2017 est.)

28.3% of GDP (2016 est.)

Fiscal year

calendar year

Current account balance

-$30.359 billion (2019 est.)

-$30.633 billion (2018 est.)

Exports

$249.628 billion (2019 est.)

$251.827 billion (2018 est.)

$236.354 billion (2017 est.)

Exports - partners

China 15%, United States 10%, Japan 9%, Singapore 8%, India 7%, Malaysia 5% (2019)

Exports - commodities

coal, palm oil, natural gas, cars, gold (2019)

Imports

$223.44 billion (2019 est.)

$242.046 billion (2018 est.)

$216.342 billion (2017 est.)

Imports - partners

China 27%, Singapore 12%, Japan 8%, Thailand 5%, United States 5%, South Korea 5%, Malaysia 5% (2019)

Imports - commodities

refined petroleum, crude petroleum, vehicle parts, telephones, natural gas (2019)

Reserves of foreign exchange and gold

$130.2 billion (31 December 2017 est.)

Debt - external

$393.252 billion (2019 est.)

$360.945 billion (2018 est.)

Exchange rates

Indonesian rupiah (IDR) per US dollar -

14,110 (2020 est.)

14,015 (2019 est.)

14,470 (2018 est.)

13,389.4 (2014 est.)

11,865.2 (2013 est.)