Shared by Mr Taufik Arief (my NPA partner from Indonesia!)

1. INDONESIA
Today Business Environment

2. Demographic
 Total Island : 17,508 islands
 Land Area (sqm) : 741,050 sq mi
 Population (est.) 2009 : 231 million people
 Indonesia is the world’s fourth (4th) most populous country, with
expectation to grow to almost 300 million by 2050
 Located in Southeast Asia and Oceanic, Indonesia shares borders
with Malaysia, Papua New Guinea, East Timor, Singapore, Malaysia,
Philippines, and Australia
 Indonesia is also the largest economy in Southeast Asia and a
member of the G-20.

3. Economic Trends

4. Currency Performance
According to the data from Bank Central Republic Indonesia, the exchange rate
continue to strengthen against USD with the latest rate (4 Nov 2010) shown in the
below table.
The graph below shows the currency performance from the last 2 years since 2008 to
2010.

5. Labor Cost
In 2009, Indonesia labor cost is still relatively low in urban centers, even as
compared to urban centers of investment magnets China and India.

6. Indonesia is also an open economy with a sizable trade surplus consisting of export
revenues and import expenditure with United States, South Korea, German, France,
England, Australia, Japan, Malaysia, Singapore, Thailand, Taiwan and China as our
main trading partners. The largest export is consumed by Japan, US, and China
respectively.
Please find the below graph for thelast 2 years of domestic export performance:
Export Domestic Consumption

7. INVESTMENT CLIMATE
1. Total Investment (January – September)‫‏‬
Total Investment Realization (Jan 2009 – Sep 2009) is Rp 112,1 trillion
Total Investment Realization (Jan 2010 – Sep 2010) is Rp 149,6 trillion
2. Total Investment (Quarterly)‫‏‬
Increase of
33.4% from
last year

8. 4. List of Top 5 investments in Indonesia

9. Top Companies : Japan
 Toyota Motor Corp.
 Honda Motor Corp.
 Sony Corp.
 Toshiba Corp.
 Fujitsu Ltd
 NEC Corp.

10. Top Companies : South Korea
 Samsung Group
 Hyundai Corp.
 Lotte
 LG Corp.
 KIA
 Daewoo Group

11. Top Companies : HongKong
 Hutchison Telecommunication
 Cathay Pacific Airways Ltd
 HongKong Shanghai Bank (HSBC)‫‏‬

12. Top Companies : Taiwan
 Acer Inc.
 Asus
 HTC
 D-Link Corp.
 Chinatrust Commercial Bank

13. Top Companies : Thailand
 Charoen Phokpand

14. Top Companies : Singapore
 DBS (Development Bank of Singapore)‫‏‬
 Singapore Airlines
 Keppel Corp. Ltd
 Far East Group
 Pan Asia

15. Top Companies : Malaysia
 Proton
 Maybank
 AirAsia
 Malaysia Airlines
 The Lion Group (formerly known as Amsteel
Corp. Bhd)‫‏‬

16. Top Companies : Philippines
 San Miguel Corp.
 Philippines Airlines

17. Top Companies : China
 Huawei Technologies Co. Ltd
 ZTE Corp.
 PetroChina Company Ltd
 Bank of China
 Haier Group Co.