AmCham Indonesia and the U.S. Chamber of Commerce unveil a report showcasing the transformative impact of $67 billion in U.S. investment, driving innovation and economic growth in Indonesia.
U.S. investments in Indonesia amounted to $67 billion between 2014 and 2023, generating a $130 billion economic impact, according to a new report released by AmCham Indonesia and the U.S. Chamber of Commerce.
The report, “US Investment: A Partner in Innovation for Indonesia,” highlights the critical role of U.S. companies in fostering innovation across various sectors.
“U.S. companies have long been steadfast partners in Indonesia’s economic growth,” said AmCham Indonesia Managing Director Lydia Ruddy. “We create high-quality jobs and introduce cutting-edge technologies that transform industries. As Indonesia evolves, our investments are increasingly focused on healthcare and digital innovation.”
Supported by USAID and featuring primary research by EY Indonesia, the report was launched during the U.S.-Indonesia Investment Summit, Pathways to Golden Indonesia 2045.
Supporting Sustainable Growth
“U.S. companies have made substantial contributions to Indonesia’s economic progress and share its aspirations for high growth in the coming years,” noted John Goyer, Executive Director for Southeast Asia at the U.S. Chamber of Commerce. “The new government has an opportunity to refine policies to support this growth, boosting living standards for Indonesians.”
The Summit facilitated discussions between Indonesian ministers and U.S. and Indonesian leaders on transitioning from infrastructure-led development under former President Joko Widodo to a focus on digitalisation, energy security, and food resilience under President Prabowo Subianto. Key topics included renewable energy, digital transformation, healthcare, and legal reform.
Key Findings from the Report
- Challenges: Bureaucratic complexity and regulatory uncertainty remain barriers to a sustainable investment climate.
- Innovation Goals: Both nations aim to enhance digital innovation and shared economic growth.
- Renewable Energy: Transitioning to renewable energy presents significant opportunities.
- Human Capital: Education reforms and private-sector partnerships are vital for developing Indonesia’s workforce.
The $67 billion figure for U.S. investments exceeds official Indonesian statistics as it includes all sectors and merger and acquisition activity.
Collaboration for 2045
The report underscores the importance of U.S.-Indonesia collaboration in achieving Indonesia’s ambition to join the Organisation for Economic Co-operation and Development (OECD) and become a leading global economy by 2045.
The U.S.-Indonesia Investment Summit, part of Initiative Indonesia, is a joint effort by AmCham Indonesia and the U.S. Chamber of Commerce. This year’s summit brought together prominent leaders, including Finance Minister Sri Mulyani Indrawati, Investment Minister Rosan Roeslani, Health Minister Budi Gunadi Sadikin, National Economic Council Head Luhut Binsar Pandjaitan, and U.S. Ambassador Kamala Shirin Lakhdhir.
Click the following LINK to read the full report.