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Indonesia Economy

Countries that have a high economic potential Indonesia has the potential to be considered internationally.

> Natural resources / commodities are diverse and abundant in Indonesia
> The population of the younger generation, a large and growing
> Political stability maintained
> The strategic location on Asian economies
> Low labor wages

Indonesia - the country with the largest economy in Southeast Asia - often referred to as a worthy candidate to be one of the members of the BRIC countries (Brazil, Russia, India and China) as its economy rapidly showed signs of development together with other members of the . Lately, a new group was demanding attention. This group consists of developing countries are characterized by diverse economic promises, the financial system is quite sophisticated and the number of fast-growing population. The group is known by the acronym CIVETS (Colombia, Indonesia, Vietnam, Egypt, Turkey and South Africa) and - when coupled - the total number of Gross Domestic Product (GDP) members of this CIVETS estimated to be worth half of global GDP in 2020.

Another example that illustrates the international recognition of Indonesia's strong economic growth is the increase in the ranks of the international credit rating agencies such as Fitch Ratings, Moody's and Standard & Poor's. Strong economic growth, low government debt and prudent fiscal management as a reason for the increase in the assessment. It is also the key to financial capital inflows in the form of foreign funds to Indonesia: good portfolio flows and foreign direct investment (FDI) increased significantly. FDI inflows, which previously relatively weak and shook the foundations of the country for a decade after the Asian Financial Crisis, showed a sharp increase after the global financial crisis of 2008-2009.


Indonesia as an economy in which the role of state-owned enterprises (SOEs) and very large private business group, showed a positive sign for the beginning of a period of significant economic growth. However, it is also worth mentioning that Indonesia is a country that is complex and contains a certain risk for investment and difficulties in order to unique dynamics. To be aware of the risks involved in investing, we recommend you to read the section Risk Investing in Indonesia as well as the latest news follow political developments, social and economic through the News, Business and Finance.


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