Indonesian Political, Business & Finance News

Jakarta Becomes Indonesia's Investment Engine, Reaching Rp 173.6 Trillion in First Half of 2026

| | Source: NASIONAL.KONTAN.CO.ID Translated from Indonesian | Economy
Jakarta Becomes Indonesia's Investment Engine, Reaching Rp 173.6 Trillion in First Half of 2026
Image: NASIONAL.KONTAN.CO.ID

Jakarta is further strengthening its role as one of the primary magnets for investment in Indonesia. As of the first semester of 2026, investment realisation in Jakarta has reached Rp 173.6 trillion, making it the highest in the country.

The Minister of Investment and Downstreaming/Head of the Investment Coordinating Board (BKPM), Rosan Roeslani, stated that Jakarta’s position is supported not only by large-scale economic activity but also by investment opportunities in strategic sectors that serve as the foundation for the future economy. This was conveyed by Rosan while serving as a keynote speaker at the Jakarta Investment Festival (JIF) Summit 2026 in Jakarta on Friday (28/08/2026).

“The next stage of downstreaming is not only focused on minerals and their processing, but also extends to digital infrastructure, technology, innovation, and industries that will determine the world’s future growth. Jakarta plays a very important role in this journey,” Rosan stated in an official release on Sunday (30/08/2026).

Throughout the first semester of 2026, investment realisation in Jakarta reached Rp 173.6 trillion, equivalent to 17.2% of the total national investment realisation. During the same period, Jakarta also contributed 16.3% to the national Gross Domestic Product (GDP) in the second quarter of 2026. This contribution further confirms Jakarta’s position as a primary driver of the national economy and a hub for investment activity.

Jakarta’s investment realisation stems from several key sectors. Transportation, warehousing, and telecommunications were the largest contributors, accounting for Rp 54.4 trillion or 31.3% of Jakarta’s total investment. Furthermore, the services sector—including web hosting, data centres, web portals, and hospitals—recorded investments of Rp 43.6 trillion or 25.1%. Meanwhile, the trade and repair sector recorded investments of Rp 28.4 trillion or 16.4%.

Jakarta’s role as an investment hub is becoming increasingly strategic alongside the rapid development of Indonesia’s digital economy. Indonesia’s digital economy is projected to reach US$ 360 billion by 2030. This condition opens even greater investment opportunities, particularly in the technology and digital infrastructure sectors. As one of Indonesia’s primary data centre development hubs, the strengthening of digital infrastructure and advanced AI-based technology is expected to further enhance Jakarta’s investment appeal.

Beyond the digital sector, Rosan revealed that Jakarta is being prepared as the starting point for an international financial centre in Indonesia. This role is expected to strengthen legal certainty and encourage the implementation of business practices that meet international standards.

Rosan noted that investment decisions are no longer determined solely by traditional factors, such as large domestic markets and low production costs. Investors are increasingly considering stability, ease of doing business, partnerships, infrastructure reliability, and a clear long-term vision. This aligns with the theme of the JIF Summit 2026, “Advancing Today, Securing Tomorrow,” which emphasises economic stability, long-term impactful investment, and strategic collaboration to support sustainable urban development.

The Ministry of Investment and Downstreaming/BKPM continues to strengthen the investment climate through the simplification and acceleration of licensing services, increasing legal and regulatory certainty, and more predictable business processes. Various investment bottlenecks are being resolved through coordination with local governments, relevant ministries/agencies, and other stakeholders. These steps aim to ensure that investment commitments can be realised promptly to provide greater benefits to the economy.

“We know that Jakarta contributes very significantly to the total investment realisation in Indonesia, and if we look at the data, Jakarta almost always ranks in the top five, and even this semester, it is ranked 1st,” said Rosan.

He added that the Ministry of Investment and Downstreaming/BKPM will continue to collaborate with the Jakarta Provincial Government to ensure that investment projects are facilitated and implemented effectively. “In essence, we are grateful and express our appreciation to the Governor and his staff, who have been very active in communicating, discussing, and providing input so that we can always synergise to provide benefits to the entire community,” Rosan concluded.

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