Comprehensive Economic Analysis of Indonesia: Past, Present, Future

This report provides a comprehensive economic profile of Indonesia, examining its key indicators, historical trends, and future forecasts. It begins with a brief overview of Indonesia, including its population, currency, political structure, and main economic sectors such as automotive, aviation, and tourism. The report then delves into the country's main economic indicators, including GDP (PPP and real growth rate), GDP per capita (PPP), inflation rate, unemployment rate, and labor force distribution. Additional indicators like the Human Development Index (HDI) are also presented. A historical analysis traces the evolution of the Indonesian economy, highlighting the emphasis on agriculture in the 1950s and 1960s, and the impact of urbanization and globalization. The report then provides a present-day analysis, noting Indonesia's status as the largest economy in Southeast Asia and its credit ratings. Finally, it offers economic forecasts for the coming years, indicating expected growth. The report concludes with a list of cited references.

Economics

Contents
..........................................................................................................................................................1
Brief Economic Profile....................................................................................................................2
Main Indicators................................................................................................................................2
Additional Indicators.......................................................................................................................2
Historical Analysis...........................................................................................................................2
Present Analysis...............................................................................................................................2
Forecasts..........................................................................................................................................3
References........................................................................................................................................3

Brief Economic Profile
Indonesia’s total population is around 260.6 million individuals. The size of the country is
5,070,606 sq km. Its currency is Rupiah (Rp). The political structure of Indonesia can be
considered as a presidential representative democratic republic. The main sectors of the
Indonesian economy include Automotive, Aviation, Cement, Islamic banking, Property, Taxi
and tourism industry (Indonesia-investments, 2018).
The main trade partners of Indonesia are China, the United States, Japan, India, Singapore,
Malaysia, and Pakistan. The exchange rate of Indonesian rupiah (IDR) is 13,360.1(2017 EST.).
(The Economist Intelligence Unit, 2018).
Main Indicators
The GDP of the nation (Purchasing Power Parity) is $3.243 trillion, GDP (Real Growth Rate) is
5.2%, and GDP Per Capita (PPP) is $12.400 and the inflation rate of the country is 4%. The
unemployment rate in the nation is 5.4%. The labor force (by occupation) rate are 32 %
(agriculture), 21 % (industry) and 47 % (services). The trade surplus is 764.11 USD Million from
1960 to 2018 (Index Mundi, 2018).
Additional Indicators
The country ranks 113 in the Human Development Index with HDI value of 0.689. There is a
continuous increase in HDI value over the recent years (UNDP, 2018).

Historical Analysis
In the 1950’s and 1960’s, it has heavily weighted on agricultural sector to promote agricultural
self sufficiency. In 1960, urbanization and globalization began in the country. To improve the
infrastructure, the policies like construction of integrated transport infrastructure and increase in
electricity generation capacity was undertaken. (Elias & Noone, 2018).
Present Analysis
Indonesia has the largest economy in Southeast Asia. Indonesia’s credit rating has been
recognized by financial companies like Moody’s and Standard and Poor’s. Today,
Forecasts
The economy of Indonesia is expected to gain pace in coming future. Indonesia’s overall growth
is expected to rise in upcoming years (Trading Economics, 2018).
References
Elias, S., & Noone, C. (2018). The Growth and Development of the. Retrieved from Rba.gov.au:
https://www.rba.gov.au/publications/bulletin/2011/dec/pdf/bu-1211-4.pdf
Index Mundi. (2018). Indonesia Economy Profile 2018. Retrieved from Indexmundi.com:
https://www.indexmundi.com/indonesia/economy_profile.html
Indonesia-investments. (2018). Industries & Sectors. Retrieved from Indonesia-
investments.com/: https://www.indonesia-investments.com/business/industries-sectors/
item6046
The Economist Intelligence Unit. (2018). Basic Data Indonesia. The Economist Intelligence
Unit.

Trading Economics. (2018). Indonesia - Economic Forecasts - 2018-2020 Outlook. Retrieved
from Tradingeconomics.com: https://tradingeconomics.com/indonesia/forecast
UNDP. (2018). Human Development Report. Retrieved from Hdr.undp.org:
http://hdr.undp.org/en/countries/profiles/IDN