In 2010-11 and 2012 through September, little foreign direct investment (FDI) was committed to Indonesian infrastructure. But a good deal has been promised lately, and significantly it has been promised by countries known for their patience, ability to work through bureaucratic delays, and relative insensitivity to risk and guarantee issues. It is...
The food and beverage industry is changing along with the rest of the country, and facing very much the same opportunities and challenges. As Indonesia becomes more prosperous, business becomes better; but just as food and beverage firms experience the demand that comes with prosperity, they are also facing some of the more frustrating aspects of...
The growth of Indonesia’s construction sector is largely being driven by a rapid ramping up of manufacturing investment. Until a few years ago the country was not favoured as a place to locate factories. A weak domestic market, substandard infrastructure, corruption, high interest rates, complex tax policies and better opportunities elsewhere...
Over decades of partnership between the government and the private oil and gas companies contracted to bring hydrocarbon resources to the surface, the two parties have cooperated in the name of common interest. But while Indonesia still possesses plenty of reserves ripe for commercial exploration, continued uncertainty in the state’s oil and gas...
The pulp and paper industry is one of the most successful sectors in Indonesia. It has been growing steadily since the late 1980s, generates almost $6bn in exports, accounts for about 1% of the country’s GDP and employs about a quarter of a million people. The sector has been a vital part of the Indonesian success story, in particular because of how...
The retail market in Indonesia has always had a strong luxury component. It is a country with many elites and super-wealthy, and global brands have been there to cater to them. What is happening now is altogether different and potentially more promising. The lower-upper and the upper-middle sections of the wealth spectrum are growing as the country...
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