10 Provinces with the Highest Unemployment Rates, Including DKI and West Java
Jakarta, CNBC Indonesia - The Central Statistics Agency (BPS) recorded Indonesia’s Open Unemployment Rate (TPT) at 4.68% in February 2026, relatively lower than the previous year.
Data from the National Labour Force Survey (Sakernas) for the February 2026 period confirms ongoing disparities in the labour market across regions.
Several provinces recorded unemployment rates far above the national average, while other areas have low unemployment rates.
Papua to DKI Become Regions with the Highest Unemployment
Papua is the province with the highest unemployment rate in Indonesia, reaching 7.02%. The next position is occupied by Riau Islands at 6.87% and West Java at 6.64%.
Provinces on the island of Java such as Banten and DKI Jakarta also entered the list of the 10 provinces with the highest TPT in Indonesia.
The high TPT in these regions is caused by high urbanisation flows, mismatch between job seekers’ skills and industry needs, as well as a surge in new entrants to the workforce not matched by the availability of formal employment opportunities.
Meanwhile, in eastern regions like Papua and Southwest Papua, high unemployment is more influenced by limited formal job opportunities and economic development disparities.
Bali to Papua Pegunungan Record the Lowest Unemployment
On the other hand, Bali is the province with the lowest national unemployment rate, at just 1.59%. However, Bali’s low unemployment rate does not entirely reflect an ideal labour market condition.
Head of BPS Bali Province Agus Gede Hendrayana Hermawan explained that the decline in the number of workers in Bali occurred because some working-age population shifted to the non-labour force (BAK) category, with an increase of up to 105,100 people.
Based on Sakernas February 2026, the composition of BAK in Bali consists of:
Working-age population still in school: 0.34 million people
Housekeeping: 0.44 million people
Other categories: 0.12 million people
This increase in BAK also suppresses the Open Unemployment Rate (TPT) figure because some working-age population is no longer recorded as active job seekers.
In addition, the agricultural sector is the business field with the highest absorption of labour in Bali at 18.99%. Unlike industrial provinces that are vulnerable to layoffs, agriculture-based regions tend to have more flexible labour markets, thus resulting in lower unemployment rates.
Below Bali, Papua Pegunungan is in second place with 1.70%, followed by West Sulawesi at 2.93% and Central Sulawesi at 2.95%.