INA Directs Investment Towards Future Industries
The Indonesia Investment Authority (INA) is beginning to direct its investments towards various sectors deemed important for the future, such as digital technology, artificial intelligence (AI), and advanced materials. This investment expansion is one of INA’s long-term strategies, aiming to bring significant benefits to Indonesia while also generating adequate returns.
Currently, INA is collaborating with Chinese company Changzhou Liyuan to develop the first lithium iron phosphate (LFP) cathode production facility in Indonesia through PT LBM Energi Baru Indonesia. The factory, located in the Kendal Industrial Area, is valued at 200 million US dollars and, with a production capacity of around 90,000 tonnes, is expected to become the largest LFP cathode facility outside China.
Additionally, INA is developing a hyperscale data center campus in Nongsa Digital Park, Batam, in partnership with Singapore-based data center company DayOne. This project has an investment value of approximately 600 million US dollars. With this data center, the capacity of Indonesia’s data center market industry is projected to grow from 514 MW in 2023 to 1.41 GW by 2029.
Beyond digital, AI, and advanced materials, INA continues to invest in other potential sectors, including healthcare, transportation and logistics, and green energy. A notable healthcare project is the construction of a plasma-derived medicinal product facility in Karawang, a collaboration with South Korean company SK Plasma valued at 150 million US dollars. The factory has been built and is currently undergoing testing and certification, with operations targeted to begin by the end of 2026. The facility is expected to produce 600,000 litres of blood plasma.
INA’s Chairman of the Board of Directors and CEO, Oki Ramadhana, stated in Jakarta on Wednesday that expanding into these new sectors is a key long-term strategy. When asked about specific targets for the next five years, Oki, who was elected on 19 May, did not provide detailed figures but said he would continue to develop INA’s business and make its investments more impactful and profitable. He expressed hope that INA could act as a catalyst to help Indonesia achieve 8 per cent economic growth.
Cumulatively, INA’s total investments from 2021 to 2025 reached Rp 74.5 trillion, or approximately 4.7 billion US dollars. Of this amount, INA’s investment portion was Rp 33.3 trillion (equivalent to 2.1 billion US dollars), while co-investment partners or foreign direct investment contributed Rp 41.2 trillion (2.6 billion US dollars). INA and its partners’ assets under management reached Rp 146.2 trillion, or 9.1 billion US dollars, a 1.9 per cent increase since its establishment in 2020. For 2026, INA plans to target investments of Rp 17 trillion to Rp 18 trillion alongside its partners.
Chief Investment Officer Laksono W. Widodo assessed that the digital sector will be a future pillar of growth for Indonesia, especially given the country’s large user base for platforms like TikTok and the increasing need for computing capacity among the younger generation. He noted that data center projects bring both profit and significant benefits to Indonesia. The investment selection process prioritises ensuring good returns before considering domestic interests.
Chief Financial Officer Eddy Porwanto added that three key principles—professionalism, trust, and governance—have enabled the sovereign wealth fund to grow rapidly and maintain the confidence of its partners since its founding during the Covid-19 pandemic in 2020. Chief Legal Counsel Arisia Pusponegoro stressed that all pre-investment procedures adhere to global standards and that risks and mitigation steps are communicated transparently to ensure partners’ expectations are aligned from the outset.
Member of the INA Supervisory Board, Fauzi Ichsan, assessed INA’s performance as impressive, noting that for a sovereign wealth fund, trust is everything in attracting global capital. He remarked that INA must compete for capital and that projects like the blood plasma facility are not just for the future of Indonesia, but for the world.