8% Economic Growth Requires Rp 13 Trillion Investment
Translated from Indonesian, summarized and contextualized by DistantNews.
At a glance
- Indonesia aims for 8% economic growth by 2029, requiring an estimated Rp 13,000 trillion in investment.
- This investment target represents a 43% increase compared to the 2014-2024 period.
- The government plans a gradual increase in economic growth and investment throughout the National Medium-Term Development Plan (RPJMN) 2025-2029.
Indonesia is setting an ambitious target of 8% economic growth by 2029, a goal that hinges on securing substantial investment. Minister of Investment and Head of the Investment Coordinating Board (BKPM), Rosan Roeslani, stated that achieving this target, outlined in the National Medium-Term Development Plan (RPJMN) 2025โ2029, requires an estimated Rp 13,032.8 trillion in both foreign and domestic investment.
This investment figure represents a significant 43% increase compared to the Rp 9,117.4 trillion realized between 2014 and 2024. Roeslani emphasized that investment is the primary driver for economic expansion, as highlighted during a working meeting on the ministry's budget accountability for the 2025 fiscal year.
Year 2025 is the first year of implementing the RPJMN 2025โ2029, and investment has always been the main driver in order to achieve 8 percent growth.
The government plans a phased approach to economic growth, with targets increasing incrementally throughout the RPJMN period. For 2025, economic growth is projected at 5.11%, supported by Rp 1,931.2 trillion in investments, exceeding the target. Projections for 2026 anticipate 5.4โ5.6% growth with Rp 2,041.3 trillion in investment, rising further to 5.8โ6.5% in 2027 with Rp 2,322 trillion.
To support this target, foreign investment and domestic investment are needed, reaching Rp 13,032.8 trillion for the period 2025โ2029.
Originally published by Tempo in Indonesian. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.