Indonesia Fact Sheet

  • IndonesiaIndonesia


Indonesia is the largest economy in Southeast Asia and the fourth most populous country in the world. With over 17,000 islands, it is the world's largest island country. Indonesia's natural resources include oil, natural gas, coal and the forest – key contributors to its economy. Thanks in part to high commodity prices and sound economic policies, the country has enjoyed steady growth over the past two decades, resulting in a burgeoning middle-class.

275.1 mil

275.1 mil

Population size

31.1 years

31.1 years

Median age




Indonesian rupiah (IDR)

Indonesian rupiah (IDR)

Currency unit



Internet penetration rate



Mobile penetration rate



GDP per capita projection
(Current prices, 2025)


Real GDP growth projection
(annual per cent change, 2025)


S&P global ratings


136.7 mil

Total labour force (2020)


Literacy rate


Nominal wage (2019)

Key Sectors

  • Agriculture
  • Digital industry
  • Energy
  • Infrastructure
  • Lifestyle
  • Manufacturing
  • Tourism

Tax Profile


Corporate tax


Number of DTAs


Dividend withholding tax


Interest withholding tax


Capital gains tax


FX control


US$167 bil
US$171 bil
  1. China
  2. United States
  3. Japan
  4. Singapore
  5. India
  1. China
  2. Singapore
  3. Japan
  4. Thailand
  5. United States

Based on 2019 data


Economic zones

Economic zones

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Government agencies and business chambers

Government agencies and business chambers

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Key government initiatives and incentives

Key government initiatives and incentives

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  • 48 Industrial Parks
  • 15 Special Economic Zones (SEZs)
  • 4 Free Trade Zones (FTZ)
  • 10 Tourism Zones

The Jobs Creation law “Omnibus Law”, came into effect on 2 November 2020 to improve the ease of doing business and attractiveness of Indonesia as an investment destination.


Import duty facility

  • Two years' import duty exemption, or directly apply for four years for companies using locally produced machines (minimum 30 per cent).
  • Applies to industries that produce goods and/or services, including tourism and culture, public transportation, public health services, mining, construction, telecommunications, ports.


Tax allowance

  • Deduction of 30 per cent of total investment value, carried over six years (5 per cent per year).
  • Applies to 183 business fields.


Tax holiday

  • 100 per cent CIT reduction for five to 20 years.
  • Minimum investment value of IDR 500 billion.
  • Applies to 18 pioneer industries.


Mini tax holiday

  • 50 per cent CIT reduction for five years.
  • Minimum investment value of IDR 100 billion up to under IDR 500 billion for pioneer industries.


Super deduction tax

  • 200 per cent deduction for HR development and vocational training.
  • 300 per cent deduction for R&D.
  • 60 per cent incentives of investment allowance for labour-intensive industries.



Sources: UOB Global Economics & Markets Research, Central Intelligence Agency’s The World Factbook, World Economic Outlook (October 2020), World Bank, UNESCO Institute of Statistics, Asian Development Bank, Badan Koordinasi Penanaman Modal (BKPM)

This fact sheet is given on a general basis without obligation and is strictly for information only. Nothing in this fact sheet constitutes accounting, legal, regulatory, tax or other advice. This fact sheet is not intended as an offer, recommendation, solicitation, or advice to purchase or sell any investment product, securities or instruments. Although reasonable care has been taken to ensure the accuracy and objectivity of the information contained in this fact sheet, UOB and its employees make no representation or warranty, whether express or implied, as to its accuracy, completeness and objectivity and accept no responsibility or liability for any error, inaccuracy, omission or any consequence or any loss or damage howsoever suffered by any person arising from any reliance on the information in this fact sheet.

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