Indonesia plays a crucial role in Southeast Asia as one of the largest economic powers, boasting a GDP nearing USD 1.2 trillion with consistent growth. Its strategic position in global trade routes and membership in the G20 underscore Indonesia's significance in the global economy. The government, led by Minister of Economic Affairs Airlangga Hartarto, has prioritized infrastructure development within the National Medium-Term Development Plan (RPJMN) 2015-2019, marked by the creation of National Strategic Projects (PSN). Infrastructure development remains a key focus, as outlined in the National Long-Term Development Plan (RPJPN) 2025-2045, aligning with Indonesia's strategic vision for the next 100 years. As part of a substantial expansion in infrastructure development, the Indonesian government is also committed to achieving Net Zero Emissions by 2060 within the realm of green economics. They have set targets for 2050, with 309 out of 1,000 Metric Tons of energy generated to come from renewable sources such as bioenergy, hydro, geothermal, and solar. To date, the government has constructed over 2,000 kilometers of toll roads, connecting major commercial, industrial, and residential centers and fortifying the trade value chain. The PSN program also includes the development of urban transportation projects, like the completed MRT in 2019 and the recently finished LRT Jabodebek project.
The government has also prioritized the development of the Electric Vehicle (EV) ecosystem, with a target of 13 million electric motorcycles and 2 million electric cars by 2030. ASEAN countries have collectively agreed to build the EV ecosystem, becoming a crucial part of the global supply chain. The 42nd ASEAN Summit in Labuan Bajo resulted in cooperation agreements with ASEAN member nations and the issuance of the ASEAN Leaders' Declaration on Developing the Regional EV Ecosystem. The government's efforts in renewable energy are particularly focused on the Kepulauan Riau Province through the Main Solar Power Plant Project in Batam-Bintan-Karimun (BBK), with an estimated renewable energy generation potential of around 30 GW throughout the province. As part of ASEAN's commitment, the Indonesian government is working to establish regional connectivity and has engaged in initiatives such as the Indonesia-Malaysia-Thailand Golden Triangle (IMT-GT), which encompasses 36 connectivity projects valued at over USD 57 billion.
