SEZ Investment Realisation Reaches Rp 353 Trillion Through Q1 2026
Special Economic Zones (SEZs) in Indonesia have recorded a total investment realisation of Rp 353 trillion, or approximately US$19.7 billion, since 2012. According to Susiwijono Moegiarso, Secretary of the Coordinating Ministry for Economic Affairs, this investment involves 471 business entities operating across 25 SEZ locations and has created jobs for more than 260,000 people.
“As of the first quarter of 2026, SEZs in Indonesia have cumulatively realised investments of Rp 353 trillion, around US$19.7 billion. This investment has created jobs for more than 260,000 workers and attracted 471 business entities operating in 25 SEZs across the country,” Susiwijono stated at the Coordinating Ministry for Economic Affairs office in Central Jakarta on Monday (6/7/2026).
Susiwijono added that many SEZs are currently applying for area expansion because their existing capacity is fully utilised. This is particularly true for three major manufacturing-based SEZs: KEK Gresik in East Java, KEK Kendal in Central Java, and KEK Galang Batang in the Riau Islands. “These three SEZs are currently in the process of applying for expansion. They are requesting land expansion and area development, on average double their current size,” he said. “Because the existing areas are fully utilised, we are now preparing development areas for new investments that are already queuing, both in terms of land expansion and SEZ area development.”
The government views the high occupancy of business entities in these zones as a reflection of strong investor interest, particularly in the manufacturing sector, with a potential pipeline of Rp 846 trillion in the coming years. “Almost all SEZs are applying, especially the large manufacturing ones, for expansion and have confirmed an investment potential of, if I recall correctly, Rp 846 trillion in the next few years,” Susiwijono said. “This means the investment climate in Indonesia remains very conducive and attractive for foreign direct investment, especially in the manufacturing industry.”
In a separate development, the Singhasari SEZ in Malang officially entered into a strategic partnership with the Indian Institute of Management Bangalore (IIM Bangalore), marked by the signing of a Memorandum of Understanding. The signing was conducted by CEO of PT Intelegensia Grahatama, David Santoso, and IIM Bangalore Senior Professor and Rector, Dinesh Kumar Unnikrishna, witnessed by Secretary Susiwijono and the Ambassador of India to Indonesia, Sandeep Chakravorty.
“IIM Bangalore, one of Asia’s leading business schools and a world-renowned management education institution, is the ideal partner in shaping Indonesia’s future business leaders, entrepreneurs, and innovators,” Susiwijono said. He noted that the cooperation could deepen bilateral relations between the two countries, a significant development given that India is the source of Indonesia’s second-largest trade surplus. “This signing also comes at an important moment in Indonesia-India relations, following the visit of His Excellency President Prabowo as the chief guest at India’s Republic Day last year, and Indonesia this year welcoming the visit of His Excellency Prime Minister Narendra Modi. Our economic cooperation shows the same momentum,” he explained. “India remains one of Indonesia’s main trading partners, with bilateral trade reaching US$23.2 billion in 2025, with Indonesian exports to India dominating at around US$18.3 billion. This momentum continues in 2026. From January to April 2026, total trade between Indonesia and India reached US$7.9 billion.”