Indonesia’s investment growth reached record levels as total investment hit IDR 1,434.3 trillion (approximately USD 92 billion) by September 2025, marking a 13.7 percent year-on-year increase. The strong performance absorbed 1,956,346 workers and achieved 75.3 percent of the government’s annual target of IDR 1,905.6 trillion (USD 122 billion). Minister of Investment and Downstream Industry Rosan Roeslani highlighted the importance of maintaining quality investments amid this achievement.
“We realize that in achieving the investment target, the most important thing is not only the numbers but also the quality of the investment,” said Rosan at the Ministry of Investment office in South Jakarta on Friday (October 17), as reported by CNN Indonesia.
Indonesia Investment Reaches Record Levels
Indonesia’s investment realization in the first nine months of 2025 reflected robust investor confidence. The total IDR 1,434.3 trillion (USD 92 billion) growth represents a significant contribution to the nation’s economic expansion. Domestic investment accounted for IDR 789.7 trillion (USD 50.9 billion), or 55.1 percent of the total, while foreign direct investment (FDI) contributed IDR 644.6 trillion (USD 41.5 billion), or 44.9 percent. This balanced composition underscores the government’s success in fostering both domestic and international investor engagement.
Rosan noted that maintaining this balance will ensure long-term stability. The ministry continues to focus on supporting industries that align with Indonesia’s downstreaming and sustainability goals.
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Regional Investment Distribution Strengthens Nationwide Growth
Investment growth extended beyond major urban centers, showing a positive shift toward regional development. Key regional figures include:
- Outside Java: IDR 741.8 trillion (USD 47.8 billion) — 51.7% of total
- Java: IDR 692.5 trillion (USD 44.7 billion) — 48.3% of total
Top provinces by realized investment (Q3 2025):
- West Java: IDR 218.2 trillion (USD 14.1 billion)
- DKI Jakarta: IDR 204.2 trillion (USD 13.2 billion)
- East Java: IDR 105.1 trillion (USD 6.8 billion)
- Central Sulawesi: IDR 97.6 trillion (USD 6.3 billion)
- Banten: IDR 91.6 trillion (USD 5.9 billion)
This regional distribution demonstrates Indonesia’s effort to promote equitable growth and strengthen infrastructure outside major urban hubs.
Foreign Direct Investment in Indonesia Leads Key Sectors
Foreign direct investment in Indonesia remained a vital driver of industrial expansion. Top foreign investor countries and their contributions include:
- Singapore: USD 12.6 billion
- Hong Kong: USD 7.3 billion
- China: USD 5.4 billion
- Malaysia: USD 2.7 billion
- Japan: USD 2.3 billion
Major investment sectors and their realized values were:
- Basic metals & metal goods (non-machinery and equipment): IDR 196.4 trillion (USD 12.7 billion)
- Transportation, warehousing & telecommunications: IDR 163.3 trillion (USD 10.5 billion)
- Mining: IDR 158.1 trillion (USD 10.2 billion)
- Other services: IDR 130 trillion (USD 8.4 billion)
- Housing, industrial estates & offices: IDR 105.2 trillion (USD 6.8 billion)
These figures underline continued international confidence and Indonesia’s progress in downstreaming and sectoral diversification
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Domestic Investment Drives Job Creation
Domestic investment played a pivotal role in absorbing the workforce this year. Key domestic investment and employment figures:
- Domestic investment (PMDN): IDR 789.7 trillion (USD 50.9 billion)
- Workers absorbed: 1,956,346
Main industries supporting job creation:
- Manufacturing — drives production and factory employment
- Logistics & transportation — expands warehousing and freight roles
- Services (including MSMEs) — boosts local employment and small-business growth
By focusing on sustainable sectors and involving MSMEs, the government aims to increase workforce absorption while ensuring long-term economic resilience.
Indonesia Eyes Sustainable Investment Growth Ahead
As 2025 draws to a close, Indonesia continues to build momentum for sustainable investment growth. The government is preparing new incentives and regulatory reforms to attract high-quality investors and accelerate downstream projects. Infrastructure improvements and regional empowerment remain top priorities for the next investment cycle.
With USD 92 billion in realized investment and nearly two million jobs created, Indonesia has positioned itself as a regional investment leader. The focus now lies in maintaining steady growth, improving investor trust, and channeling investments toward sectors that ensure lasting prosperity for the nation.
Source: cnnindonesia.com
Image: KOMPAS.com/DEBRINATA RIZKY
