When the election committee announced that Joko Widodo had won the race to become Indonesia's next president, the markets reacted with a stronger Rupiah and higher stock market index. It appears that investors believe a Widodo bonus is in order, but why?
Rapid economic development, low public debt and a young population provide Indonesia with perfect ingredients for a thriving mutual fund industry. Global investment companies, therefore, are reassessing opportunities to manage Indonesians' growing wealth.
The footwear industry plays an increasingly important role in Indonesia's manufacturing sector. Producing shoes for many global brands, footwear manufacturers are a vital job creator and an important foreign exchange earner for the country.
As Indonesia’s economy has grown so too have the challenges in providing a well-organised public transport system. With gridlock costing the country a fortune in lost productivity and missed business opportunities, the government is now prioritizing projects that ease the burden on overcapacity roads.
Responding to Indonesians' growing taste for chocolate, global companies have invested heavily in cocoa downstream businesses in recent years. Farmers, however, are struggling to increase cocoa bean output and have become the weak link in Indonesia's cocoa industry.
An advantageous geographic position on the equator has long afforded Indonesia with immense potential for solar energy. With the country’s solar energy industry ready to begin a concerted expansion, demand for locally manufactured components such as solar panels is set to boom.
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