The Republic
Of
Indonesia

• Area: 1,904,569 km2

• Popula+on: 252 million • Capital: Jakarta • Official language: Bahasa • Na+onal Symbol: Garuda Pancasila

Indonesia on the global platform……

Strengths Indonesia -­‐ Employment to populaBon raBo, 15+ (%) • Labour force:-­‐ Indonesia employment to populaBon raBo is a strong point in their economy.

• 63.9% of the populaBon are working • Allowing oversea business to set up, E.G. Ikea

• Take advantage of the size of the populaBon

90
80
70
60
50
40
30
20
10
0

Indonesia

Source: knoema

Nigeria

China
Indonesi
a: 250 million Nigeria:
174
Million

• Really close to china even though china has 5 Bmes the populaBon with 67.9% of the populaBon in labour

China:
1.3Billion

Strengths

CorrupBon percepBon index 2013 160

• Looks promising as more firms will trust the system

• Crime is also linked to corrupBon; less threats

140 rank, lowest="Very Clean"

CorrupBon percepBon:

• Rapid decline in corrupBon in the past decade

120
100
80
60
40
20
0
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
Indonesia

China

Nigeria

Source: Knoema

Strengths of Indonesian Economy

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•
•
•
•
•
•

Natural resource wealth Massive domesBc market Consumer driven economy Solid macroeconomic policymaking Young, large and growing labor pool Strategic locaBon Heavy inflow of foreign investment (FDI)

Source: knoema

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High GDP-­‐to-­‐debt

Level of corrupBon deferring foreign investors Long Bme to set up businesses. Ease of doing business Inefficient labour market Poor infrastructure

Underdeveloped financial/capital market

W
E
A
K
N
E
S
S
E
S