Prabowo: Indonesia's Domestic Market Could Be as Large as Europe

President Prabowo Subianto has stressed that Indonesia’s domestic market potential is enormous, potentially rivaling Europe in size. He said this is driven by abundant strategic natural resources and a demographic dividend that strengthens domestic consumption. The president made the remarks while outlining the Macro Economic Framework and Key Fiscal Policy (KEM-PPKF) at the 19th Plenary Session of the DPR RI at the Parliament Complex, Senayan, Jakarta, on Wednesday, 20 May.

‘We have a demographic bonus that supports domestic consumption and a large domestic market. Our market could be as big as Europe and indeed our natural resources are abundant. We have commodities that are very valuable,’ he said, according to Antara.

In his speech, the head of state detailed the strength of three main commodities that will underpin the country’s foreign exchange earnings in 2025. Indonesia is the world’s largest exporter of palm oil with foreign exchange value of $23 billion (Rupiah Rp391 trillion). In addition, coal exports contribute $30 billion (Rp510 trillion), and ferro alloys amount to $16 billion (Rp272 trillion).

‘These three strategic commodities generate foreign exchange of more than $65 billion, equal to Rp1,100 trillion per year,’ he asserted.

Although the country has extraordinary natural wealth, Prabowo offered a critical note on national economic management. He highlighted that the state revenue-to-GDP ratio remains stuck at around 11 to 12 percent. This figure is considered to be below the achievements of neighbouring countries such as Malaysia, the Philippines, and Cambodia.

‘We must introspect and be aware and brave to ask, why can’t we manage our economy so that our revenue is on par with countries like the Philippines, Mexico. Even now we are still below Malaysia,’ the President concluded. (Ant/Z-10)

NasDem Party Chairman Surya Paloh is optimistic that the rupiah will strengthen after President Prabowo Subianto’s address on KEM-PPKF 2027 at the DPR.

The Palace explained the reason the President delivered KEM-PPKF RAPBN 2027 to the DPR to unify the nation’s strength.

President Prabowo Subianto will deliver KEM-PPKF RAPBN 2026 at the DPR coinciding with National Awakening Day to bolster the economy.

The President is scheduled to attend the DPR’s Plenary Session at the Parliament Complex, Jakarta, on Wednesday (20/5).