Foreign investment in Indonesia jumped 86.02% between January and September 2026, according to research and policy institute NEXT Indonesia Center.
Ade Holis, Head of Research at NEXT Indonesia Center, said the “other services” category attracted IDR 100.4 trillion in foreign direct investment/FDI, making it the country’s second-largest recipient of foreign capital after the basic metals industry, which drew IDR 246.6 trillion.
“Foreign investment in the ‘other services’ sector surged in West Java, reaching IDR 53.6 trillion during January-September 2026,” Ade said on Sunday (November 8, 2026).
That figure represents roughly 53.4% of all foreign investment in the sector nationwide, reinforcing West Java’s position as the leading destination for foreign capital in the category.
Domestic Investment Contracts
According to NEXT Indonesia Center, the rapid expansion of data center projects may be one of the factors driving growth in foreign investment within the “other services” sector.
However, the organization noted that the exact contribution of data center investment remains difficult to determine because the category covers a wide range of business activities.
After West Java, Jakarta ranked as the second-largest destination for foreign investment in the sector. FDI realization in the capital increased from IDR 24.7 trillion to IDR 29.9 trillion compared with the same period a year earlier.
Overall, Indonesia recorded IDR 777.8 trillion in foreign direct investment during the first nine months of 2026.
Based on NEXT Indonesia Center’s analysis of data from the Ministry of Investment and Downstream Industry/BKPM, that represents a 20.67% year-on-year increase.
Foreign investment accounted for 50.5% of Indonesia’s total realized investment of IDR 1,539.2 trillion, while domestic investment reached IDR 761.4 trillion, or 49.5% of the total.
Despite the rise in foreign investment, NEXT found that domestic investment has been losing momentum. Domestic capital investment contracted by 7.77% in the second quarter and 7.48% in the third quarter of 2026 compared with the same periods last year.
“Foreign investment has helped support overall investment growth while domestic investment is weakening. However, this trend also deserves attention because healthy investment growth requires balanced contributions from both foreign and domestic capital,” Ade said.
Sources: NextIndonesia, MetroTV
