Prabowo Says 2025 Investment Target to Be Reached by August
President Prabowo Subianto has stated that the 2025 investment target will be achieved by August. The 2025 investment target has been set at Rp 1,905 trillion.
"I received a report from the Minister of Investment that Indonesian investment has reached the target set in the state budget. Our 2025 state budget target will be reached this August, four months before the end of the year," he explained at the closing of the Indonesian Solidarity Party (PSI) Congress on Sunday (20/7/2025).
Meanwhile, the Ministry of Investment and Downstreaming/Investment Coordinating Board (BKPM) recorded that investment realisation in the first half of 2025 reached Rp 940 trillion, an accumulation of first and second quarter figures.
"The first and second quarters are already secure. In Q1 we released a figure of Rp 465 trillion and in Q2 we reached Rp 475 trillion," said Deputy Minister of Investment/BKPM Todotua Pasaribu in Jakarta on Wednesday (16/7/2025).
How many jobs should be created from this level of investment realisation? Ristadi, General Chairman of the Nusantara Workers' Union Confederation (KSPN), calculated that prior to 2013, every Rp 1 trillion of investment created approximately 4,000 jobs. However, with the advancement of technology and digitalisation, from 2020 onwards every Rp 1 trillion of investment creates only around 1,300 jobs.
"If President Prabowo says there will be Rp 1,905 trillion, approximately 2.4 million job vacancies will be created," he told KONTAN on Tuesday (22/7/2025).
Ristadi noted that the labour-intensive sector is the largest contributor to job creation, whilst capital-intensive sectors employ fewer workers with greater technological support.
"In labour-intensive sectors such as garments, footwear, mining, and food and beverages — I believe these qualify as labour-intensive because they create a considerable number of jobs," he said.
Nevertheless, Ristadi acknowledged that the current situation is quite concerning. Job creation is not commensurate with the number of job seekers. This has been evident in several regions where queues of job applicants far outnumber available vacancies.
"I think there are several cases that can serve as a simple barometer of how the flood of job applicants is disproportionate to the number of job vacancies," he added.
"I received a report from the Minister of Investment that Indonesian investment has reached the target set in the state budget. Our 2025 state budget target will be reached this August, four months before the end of the year," he explained at the closing of the Indonesian Solidarity Party (PSI) Congress on Sunday (20/7/2025).
Meanwhile, the Ministry of Investment and Downstreaming/Investment Coordinating Board (BKPM) recorded that investment realisation in the first half of 2025 reached Rp 940 trillion, an accumulation of first and second quarter figures.
"The first and second quarters are already secure. In Q1 we released a figure of Rp 465 trillion and in Q2 we reached Rp 475 trillion," said Deputy Minister of Investment/BKPM Todotua Pasaribu in Jakarta on Wednesday (16/7/2025).
How many jobs should be created from this level of investment realisation? Ristadi, General Chairman of the Nusantara Workers' Union Confederation (KSPN), calculated that prior to 2013, every Rp 1 trillion of investment created approximately 4,000 jobs. However, with the advancement of technology and digitalisation, from 2020 onwards every Rp 1 trillion of investment creates only around 1,300 jobs.
"If President Prabowo says there will be Rp 1,905 trillion, approximately 2.4 million job vacancies will be created," he told KONTAN on Tuesday (22/7/2025).
Ristadi noted that the labour-intensive sector is the largest contributor to job creation, whilst capital-intensive sectors employ fewer workers with greater technological support.
"In labour-intensive sectors such as garments, footwear, mining, and food and beverages — I believe these qualify as labour-intensive because they create a considerable number of jobs," he said.
Nevertheless, Ristadi acknowledged that the current situation is quite concerning. Job creation is not commensurate with the number of job seekers. This has been evident in several regions where queues of job applicants far outnumber available vacancies.
"I think there are several cases that can serve as a simple barometer of how the flood of job applicants is disproportionate to the number of job vacancies," he added.