INTHEBLACK September/October 2025 - Magazine - Page 17
Jakarta skyline, Indonesia
INDONESIA
SKILLS IN DEMAND
OVERVIEW
1. Data analysis and visualisation
2. IT support
3. Digital marketing and ecommerce
MAJOR SECTORS
• Manufacturing
• Wholesale and retail trade
• Agriculture, forestry and fishing
KEY BUSINESS ATTRACTIONS
A relatively large (285 million) and
young (median age 30.4) population
provides a vast consumer base in
Indonesia, with the fast-growing
digital economy underpinning
the ability to promote and sell into
this market. Indonesia attracted
US$475 billion (A$739 billion)
foreign direct investment (FDI)
in 2023, a 13.7 per cent
year-on-year (YOY) increase,
showing enormous confidence
in the market.
LOCAL INSIGHT
One of the biggest business
challenges in Indonesia, says
Andy Rahardja CPA, finance
director at IDS Medical Systems,
is the need to navigate hurdles
such as regulatory inconsistency,
high operational costs and
underdeveloped infrastructure
in certain areas.
“These dynamics highlight the
importance of strong stakeholder
engagement, legal clarity and
long-term commitment to doing
business responsibly,” Rahardja says.
“Despite these challenges,
Indonesia offers strong fundamentals:
a young workforce, a growing digital
economy, and increasing regional
relevance. Businesses that invest
in building local relationships,
understanding the regulatory
environment and taking a long-term
view are well positioned to thrive.”
Businesses entering the market,
Rahardja says, must spend time
analysing and understanding regional
variations in consumer behaviour and
tailoring their strategy to Indonesia’s
evolving market segments,
especially as changes in
the middle class affect
purchasing power.
CPA AUSTRALIA
Ignoring cultural
MEMBERS
nuances can lead to
costly mistakes.
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GLOBAL GAME CHANGERS intheblack.cpaaustralia.com.au 17
F E AT U R E
With GDP growth of 5 per cent
in 2024, the Indonesian economy
has proven its resilience, supported
by strong domestic investment
and consumption. As the economy
and its industries digitise rapidly
following the guidance of the
Making Indonesia 4.0 road map,
the digital economy itself is
projected to reach a value of
US$130 billion (A$202 billion)
by the end of 2025. The road map
is underpinned by several strategies,
including the 100 Smart Cities
program and the National Strategy
for Artificial Intelligence, both of
which are boosting innovation
and infrastructure.
