Indonesia is reinforcing its position as one of Southeast Asia’s most attractive investment destination, with the government citing fresh international survey results and rising investor demand as proof of the country’s strong economic resilience.
Addressing 34 ambassadors from partner countries during the Kadin Diplomatic Economic Breakfast at the Coordinating Ministry for Economic Affairs in Jakarta on Friday morning (July 10, 2026), Coordinating Minister for Economic Affairs Airlangga Hartarto said Indonesia has emerged as the most stable and profitable investment destination in ASEAN.
His confidence was backed by the latest survey from the Japan External Trade Organization (Jetro), which evaluated companies operating in Indonesia and across other ASEAN member states. According to the findings, Indonesia stands out as one of the region’s strongest business environments.
“According to Jetro’s survey of companies operating in Indonesia and across ASEAN, Indonesia is one of the most stable and profitable places to do business compared with other ASEAN countries. This demonstrates the resilience of Indonesia’s economy,” he said during his opening remarks.
Airlangga explained that the survey reflects what the government has been witnessing through investment activity across the country. Interest from domestic and foreign investors continues to climb, pushing several Special Economic Zones (SEZs) close to their maximum capacity.
The Gresik SEZ has reached an occupancy rate of 80%, while the Kendal SEZ and the Galang Batang SEZ in Bintan have already become fully occupied. With demand continuing to grow, the government has committed to expanding these three industrial zones while also developing additional Special Economic Zones to accommodate future investment.
“So, Indonesia is open for business,” Airlangga emphasized.
To ensure investor confidence remains strong, the government is accelerating three major initiatives aimed at making Indonesia an even more competitive investment destination.
The first is the creation of an Investment Acceleration Task Force that brings together 27 ministries and government agencies. The team is responsible for resolving licensing issues and removing administrative bottlenecks that often delay investment projects.
The second initiative focuses on optimizing Indonesia’s 24 Special Economic Zones to strengthen the country’s position in global supply chains while boosting the competitiveness of export-oriented industries.
According to Airlangga, investment efficiency inside these zones has become one of their biggest advantages. He pointed to the Incremental Capital Output Ratio (ICOR), which has been lowered to 3.4 in the SEZs. By comparison, Indonesia’s national average ICOR remains around 6, highlighting the significantly higher efficiency achieved within the special economic zones.
The government’s third priority is preserving strong macroeconomic fundamentals. Airlangga noted that Indonesia has consistently maintained economic growth of around 5% annually over the past seven years, providing businesses with greater confidence in the country’s long-term economic outlook.
He also highlighted Indonesia’s ability to keep inflation within the official target range of 2.5% ±1%. Rather than relying solely on conventional monetary tools, the country has adopted a broader approach that directly monitors price movements across regions.
“Indonesia manages inflation differently from the approach taught at Harvard Business School, which focuses primarily on maintaining interest rates to control inflation. In Indonesia, we mobilize all governors, regents, and mayors to monitor fluctuations in volatile food prices. We know exactly which food items or products are experiencing price increases, and we address those issues directly in each region,” he explained.
Concluding his remarks, Airlangga called on ambassadors and international partners to deepen collaboration as countries continue adapting to an evolving global economy. He stressed that stronger cooperation in post-pandemic supply chains, technology, and green energy will be essential for shared prosperity.
“We cannot navigate global economic uncertainty alone. Let us harness the power of technology, green energy, and economic cooperation to build a more prosperous future for our countries and our people,” he concluded.
