Indonesia's Q1 2025 Investment Reaches Rp465.2 Trillion, Up 15.9% Year-on-Year
Warta Ekonomi, Jakarta — Minister of Investment and Downstreaming/Head of the Investment Coordinating Board (BKPM) Rosan Perkasa Roeslani announced investment realisation figures for the first quarter of 2025. Indonesia recorded investment realisation of Rp465.2 trillion during Q1 2025, rising 2.7% compared to Q4 2024 and increasing significantly by 15.9% compared to the same period last year.
This achievement fulfils 24.4% of the 2025 investment realisation target of Rp1,905.6 trillion. Investment performance also had a positive impact on job creation, with direct employment absorption reaching 594,104 persons, an increase of 8.5% compared to Q1 2024.
According to Rosan, the achievement reflects national economic resilience and the effectiveness of the government's strategy in maintaining investment attractiveness and climate amid global dynamics.
"If we look at the trend, it is very good, because in 2025 the investment increase compared to 2024 is 15.9%, which is quite a high rise. We see this from the appetite coming in and investment realisation that continues to progress, God willing we can achieve that figure," said Rosan at a press conference, as quoted from a BKPM press release on Wednesday (7 May).
Rosan added that global trade tensions such as increases in United States import tariffs have not yet directly affected investment flows into Indonesia. Investment realisation figures reflect capital expenditure on physical projects such as factory construction, infrastructure and production facilities involving long-term business calculations and risk assessment. Therefore, fluctuations in international trade policy do not immediately erode national investment realisation, although the impact will be more acutely felt in export-oriented industries, particularly those targeting the United States.
"This achievement is a very good and positive indicator amid rising geopolitical and geo-economic tensions. We see investment interest, both domestic and foreign, continuing to increase in Indonesia," Rosan explained.
The manufacturing sector dominated investment realisation by business sector, with a value of Rp67.3 trillion, followed by transport and telecommunications (Rp66.5 trillion) and mining (Rp48.6 trillion).
The distribution of investment between Java and outside Java is also becoming increasingly balanced. Areas outside Java recorded realisation of Rp235.9 trillion or 50.7% of total investment, slightly higher than Java at Rp229.3 trillion (49.3%). Investment growth outside Java of 17.4% reinforces the direction of equitable national development.
Central Sulawesi province became one of the growth engines outside Java with realisation of Rp32.7 trillion, placing it among the national top five alongside DKI Jakarta (Rp69.8 trillion) and West Java (Rp68.5 trillion).
Amid external pressures, Foreign Direct Investment (PMA) continued to contribute significantly at Rp230.4 trillion, or 49.5% of total investment realisation, whilst Domestic Direct Investment (PMDN) stood at Rp234.8 trillion or 50.5%.
This achievement fulfils 24.4% of the 2025 investment realisation target of Rp1,905.6 trillion. Investment performance also had a positive impact on job creation, with direct employment absorption reaching 594,104 persons, an increase of 8.5% compared to Q1 2024.
According to Rosan, the achievement reflects national economic resilience and the effectiveness of the government's strategy in maintaining investment attractiveness and climate amid global dynamics.
"If we look at the trend, it is very good, because in 2025 the investment increase compared to 2024 is 15.9%, which is quite a high rise. We see this from the appetite coming in and investment realisation that continues to progress, God willing we can achieve that figure," said Rosan at a press conference, as quoted from a BKPM press release on Wednesday (7 May).
Rosan added that global trade tensions such as increases in United States import tariffs have not yet directly affected investment flows into Indonesia. Investment realisation figures reflect capital expenditure on physical projects such as factory construction, infrastructure and production facilities involving long-term business calculations and risk assessment. Therefore, fluctuations in international trade policy do not immediately erode national investment realisation, although the impact will be more acutely felt in export-oriented industries, particularly those targeting the United States.
"This achievement is a very good and positive indicator amid rising geopolitical and geo-economic tensions. We see investment interest, both domestic and foreign, continuing to increase in Indonesia," Rosan explained.
The manufacturing sector dominated investment realisation by business sector, with a value of Rp67.3 trillion, followed by transport and telecommunications (Rp66.5 trillion) and mining (Rp48.6 trillion).
The distribution of investment between Java and outside Java is also becoming increasingly balanced. Areas outside Java recorded realisation of Rp235.9 trillion or 50.7% of total investment, slightly higher than Java at Rp229.3 trillion (49.3%). Investment growth outside Java of 17.4% reinforces the direction of equitable national development.
Central Sulawesi province became one of the growth engines outside Java with realisation of Rp32.7 trillion, placing it among the national top five alongside DKI Jakarta (Rp69.8 trillion) and West Java (Rp68.5 trillion).
Amid external pressures, Foreign Direct Investment (PMA) continued to contribute significantly at Rp230.4 trillion, or 49.5% of total investment realisation, whilst Domestic Direct Investment (PMDN) stood at Rp234.8 trillion or 50.5%.