Economy9 min read

Indonesian Regional Economy

Each region in Indonesia has different dominant economic sectors. From mining to tourism.

Tim GeoKepoβ€’January 14, 2025

Indonesian Regional Economy

Indonesia is Southeast Asia's largest economy with Gross Domestic Product (GDP) that continues to grow. Behind these national figures, there is regional economic diversity that follows the geographical characteristics of each region.

Java as Industrial Center

Java is Indonesia's industrial and service center. DKI Jakarta contributes the largest share to national GDP through financial, trade, and service sectors. West Java, Central Java, and East Java are the nation's manufacturing bases, from textiles to automotive.

Sumatra and Kalimantan: Resource Wealth

Sumatra and Kalimantan are known as national commodity pillars. Sumatra excels in plantation products such as oil palm and rubber, as well as oil mining. Kalimantan is the main coal producer that supplies global energy markets.

Sulawesi and Maluku: Maritime and New Mining

Sulawesi is rapidly developing through agro-industry and fisheries sectors. In addition, nickel processing industries in Central and Southeast Sulawesi are now key global players. Maluku remains the center of spices and abundant capture fisheries.

Bali and Nusa Tenggara: Tourism Gateway

Bali is the backbone of Indonesia's tourism contributing large foreign exchange. Nusa Tenggara follows with the development of super priority destinations such as Labuan Bajo and Mandalika, relying on unique natural beauty to attract investment.

Papua: Future Potential

Papua has very large mineral wealth, especially gold and copper. Besides the extractive sector, infrastructure development in Papua is expected to open new economic potential in fisheries and renewable energy.


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#economy#industry#mining#agriculture#tourism

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