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Tuesday, October 6, 2026

Minister encourages value-added investment through Indonesia-US ties

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Coordinating Minister for Economic Affairs Airlangga Hartarto is promoting value-added investment through stronger economic partnerships with the United States to support sustainable growth amid ongoing global economic uncertainty and strengthen Indonesia’s economic resilience and competitiveness.

At the 14th US-Indonesia Investment Summit in Jakarta on Tuesday, he conveyed that Indonesia's economic resilience remains a key factor in maintaining investor confidence.

He highlighted Indonesia's inflation rate of 3.28 percent in September, a 7 percent increase in investment compared to last year, and a Consumer Confidence Index (CCI) of 108.5.

Furthermore, the Gini Ratio stands at 0.36, while the poverty rate has declined to 8.7 percent and the open unemployment rate to around 4.65 percent.

Regarding economic relations with the US, Indonesia's exports have increased from US$25.83 billion in 2021 to US$31.01 billion in 2025. In the first half of 2026, Indonesia's exports to the US reached US$15.85 billion, with a trade surplus of US$8.56 billion.

According to him, the US remains one of the five main sources of foreign investment in Indonesia, with its investment realization in the first half of 2026 standing at US$1.72 billion.

Hartarto then outlined that the direction of economic policy for 2027 will focus on strengthening high-value-added sectors, revitalizing resilient economic sectors, increasing export and investment capacity, and developing digitalization, semiconductors, and artificial intelligence.

The government is also developing an AI-based data center in the Nongsa Special Economic Zone (SEZ) and a semiconductor ecosystem in the Batam-Bintan corridor, he added.

As of June 2026, 25 special economic zones recorded accumulated investment realization of Rp368 trillion (approximately US$20 billion) and absorbed more than 283,000 workers.

Alongside efforts to strengthen domestic investment, the government is expanding market access through international cooperation, including the Regional Comprehensive Economic Partnership (RCEP), ASEAN, Organisation for Economic Co-operation and Development (OECD), Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), and various bilateral trade agreements.

Regarding relations with the US, Hartarto stated that the implementation of the Indonesia-US Agreement on Reciprocal Trade (ART) is one of the government's agendas to expand market access and reduce trade barriers.

"We look forward to continuing our cooperation with the US business community to turn these strategic opportunities into concrete investments and stronger partnerships that will contribute to mutual economic growth," the minister pointed out.

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Translator: Imamatul Silfia, Resinta Sulistiyandari
Editor: Azis Kurmala
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