Southeast Asia: Startup Ecosystem 2.0
Indonesia: Economy Overview
INDONESIA - Real GDP and GDP Growth Rate (US$ Bn/US$), 2011-2020
Overview The 4th most populous country in the world (2020). Indonesia’s robust GDP growth (5% during 2011-2019) is fueled by a large consumer base with rising middle-class and healthy labor market. Economy Highlights Agriculture has predominantly been the key contributor to the economy. The country also enjoys large mineral deposits and rich biodiversity. Business & Investment Climate Indonesia ranks 73rd in terms of ease of doing business. The country has effective competition law and low total tax rate, yet policy uncertainty, FDI restrictiveness and lagging infrastructure remain as concerns. Notable development priorities in recent years include: - Improve business ecosystem & investment climate. - Enhance economic value-added and job creation. Accelerate industrial digitalization. - Reduce disparities across the archipelago through connectivity and infrastructure projects. These initiatives are charging investors’ confidence, promising a more vibrant, business-friendly environment in the future. Digital economy - Singapore and Vietnam are 2 countries that have maintained their double-digit growth since 2019, mainly driven by the e-Commerce sector. - Home to 5 SEA unicorns, including Bukalapak, Gojek, OVO, Traveloka & Tokopedia. Source: MarketLine; Google, Temasek, Bain & Company SEA E-conomy report 2020; World Bank Doing Business report 2020.
Source: MarketLine
INDONESIA - Digital Economy
Source: MarketLine; Google, Temasek, Bain & Company SEA E-conomy Report 2020
36
