Indonesia is transforming from a resources- and consumption-based economy to a more manufacturing- and investment-oriented one, working to build an industrial base that will allow it to reduce its dependence on imports and keep more value within the economy. Following his inauguration in October 2014, President Joko Widodo quickly took a number of vital and positive steps that so far are increasing opportunities for foreign direct investment.
A flurry of major infrastructure projects in Indonesia is set to boost the construction sector, although growth in the domestic building materials industry remains hamstrung by regional competition and government intervention in some cases.
Increased government investment in infrastructure has helped to unleash a boom in Indonesia’s construction sector. With rapidly growing demand for residential real estate, office buildings, industrial estates and other property across the archipelago, the construction sector is tagging along for the ride.
With the implementation date of the ASEAN Economic Community (AEC) set for December 31, 2015, Indonesia’s construction sector must take the right steps to ensure that it stays in the running. The AEC aims to create a single market and production base with free movement of goods, services and skilled labour. Such a development will enable greater...
As Indonesia’s real estate market has experienced growth in recent decades, the demand for building materials has skyrocketed. The domestic market is thriving, with Indonesia’s key players rapidly expanding production capacity of high-demand materials such as concrete and metals. Inflation is high for imported building materials and...
With a number of infrastructure projects being rolled out in the coming years, alongside overall real estate expansion and economic growth, the construction equipment sector has a vital role to play in Indonesia’s future development. Indeed, the value of the construction equipment market doubled between 2008 and 2013 – with Research and Markets...
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