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Kamis, 15 Januari 2026

Investment Realization in 2025 Exceeds Target, Downstream Investment Jumps 43.3 Percent

Jakarta, January 15, 2026 — The Ministry of Investment and Downstream Industry/Investment Coordinating Board (BKPM) recorded total investment realization of IDR1,931.2 trillion in January–December 2025, reaching 101.3 percent of the President's investment target of IDR1,905.6 trillion. Downstream investment contributed 30.2 percent of total realization, amounting to IDR584.1 trillion, an increase of 43.3 percent year-on-year (yoy). Amid continued global economic uncertainty, this achievement demonstrates the resilience of Indonesia's investment climate and reinforces investment's role as a key driver of economic growth and job creation.

"2025 has been a challenging year amid continued global economic uncertainty, geopolitical tensions, and increasing trade fragmentation. Nevertheless, the Government remains committed to maintaining a conducive investment climate and ensuring investor confidence. We are pleased that Indonesia not only achieved but exceeded its investment target for 2025, with total realized investment reaching IDR1,931.2 trillion, representing year-on-year growth of 12.7 percent," explained Minister of Investment and Downstream Industry/Chairman of BKPM, Rosan P. Roeslani.


Minister Rosan added that cumulative investment realization during January–December 2025 generated employment for 2.71 million people, reflecting investment's tangible contribution to the national economy. Foreign Direct Investment (FDI) accounted for IDR900.9 trillion (46.6 percent), while Domestic Direct Investment (DDI) contributed IDR1,030.3 trillion (53.4 percent).


Regionally, investment realization continued to be concentrated outside Java, reaching IDR991.2 trillion (51.3 percent), while investment in Java amounted to IDR940.0 trillion (48.7 percent). Among the top five investment destinations, West Java ranked first with IDR296.8 trillion (15.4 percent), followed by DKI Jakarta (IDR270.9 trillion), East Java (IDR145.1 trillion), Banten (IDR130.2 trillion), and Central Sulawesi (IDR127.2 trillion).


The Government continues to encourage equitable investment in various strategic sectors. During the reporting period, investment realization has shown a consistent trend with significant contributions from several key sectors.


"In terms of sectoral distribution, Investment remained broadly consistent across sectors, the realization of investment in the base metals, metal goods, non machinery, and derivatives industry reached IDR262.0 trillion or 13.6 percent of total realization. This was followed by transportation, warehousing and telecommunications at IDR211 trillion (10.9 percent); mining at IDR199.6 trillion (10.3 percent); other services IDR170.5 trillion (8.8 percent), and housing, industrial estates, and office buildings at IDR140.4 trillion (7.3 percent)," Minister Rosan explained.


Singapore remained Indonesia's largest source of foreign investment in 2025, with USD17.4 billion (30.9 percent), followed by Hong Kong, China (USD10.6 billion), the People's Republic of China (USD7.5 billion), Malaysia (USD4.5 billion), and Japan (USD3.1 billion).


Fourth Quarter 2025 Investment Performance


Investment realization in the fourth quarter of 2025 reached IDR496.9 trillion, representing 26.1 percent of the annual investment target and growing 9.7 percent year-on-year. FDI contributed IDR256.3 trillion (51.6 percent), while DDI accounted for IDR240.6 trillion (48.4 percent).


By regional distribution, Investment outside Java accounted for 50.2 percent or IDR249.4 trillion, while in Java it reached IDR247.5 trillion contributing 49.8 percent. The leading investment destinations during the quarter remained West Java, DKI Jakarta, East Java, Banten, and Central Sulawesi.


In line with the annual realization achievement, the sectors that contributed the most were also the basic metal industry, non machinery metal goods and equipment which reached IDR65.6 trillion, followed by transportation, warehousing and telecommunications, mining, other services, and the chemical and pharmaceutical industries.


Singapore also remained the leading foreign investor during the fourth quarter with USD4.8 billion (30.1 percent), followed by Hong Kong, China (USD3.4 billion), the People's Republic of China (USD2.1 billion), Malaysia (USD1.7 billion), and Japan (USD0.8 billion).


Downstream Investment Records 43.3 Percent Growth


"Downstream industries across various sectors continue to expand and gain momentum. Growth is no longer driven solely by the mineral sector—we are also seeing strong progress in plantations and forestry. Likewise, we are confident that downstream investment in fisheries and marine industries will continue to increase," said Minister Rosan.


The total investment realization in the downstream sector in January–December 2025 reached IDR584.1 trillion or grew 43.3 percent (yoy) and contributed 30.2 percent of the total investment realization in 2025. Downstream investment was dominated by the mineral sector of IDR 373.1 trillion, followed by plantations and forestry of IDR144.5 trillion, oil and gas of IDR60 trillion, and marine and fisheries with a total of IDR6.4 trillion.


Central Sulawesi recorded the largest downstream investment realization, followed by North Maluku, West Java, Banten, and East Java. FDI accounted for IDR429.6 trillion (73.5 percent) of downstream investment, while DDI contributed IDR154.5 trillion (26.5 percent).


In the future, the government will continue to encourage improvement in investment quality through strengthening downstream industries, developing clean energy-based industries, as well as simplifying licensing and increasing business certainty. These measures are expected to sustain investment momentum in 2026 while supporting inclusive and sustainable economic growth.


"We are confident that investment will continue to contribute positively to Indonesia's sustainable, continuous, and equitable economic growth. Of course, we will not be able to achieve this task if we do not collaborate," concluded Rosan.

 

For further Information, please contact:

Protocol and Public Relations Bureau

Ministry of Investment and Downstream Industry/BKPM

Email: humas@bkpm.go.id



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