Jakarta, August 20, 2026 — The Europe Today: The Indonesian government is preparing a series of new economic growth engines aimed at achieving its national target of 8 percent economic growth by increasing production capacity, attracting investment and accelerating strategic policy measures.
Haryo Limanseto, spokesperson for the Coordinating Ministry for Economic Affairs, said the government was focused on maintaining economic momentum by strengthening economic fundamentals and accelerating priority programmes.
He said the measures were intended to expand production capacity, strengthen investment and create new sources of economic growth, while industrial downstreaming and stronger domestic supply chains would remain key policy pillars to help Indonesia withstand global risks and geopolitical uncertainty.
By 2026, the government had initiated 26 priority downstreaming projects covering areas including coal-to-dimethyl ether processing, copper and gold refining, industrial salt, alumina processing and waste-to-energy development. The projects are expected to expand industrial capacity and generate tens of thousands of jobs.
The government is also strengthening natural-resource management through the development of a national bullion bank and optimization of export proceeds. The Gold Bank, managed by state-owned PT Pegadaian and Bank Syariah Indonesia, holds 153 tonnes of gold valued at approximately Rp360 trillion, or more than US$20 billion.
Meanwhile, state-backed PT Danantara Sumber Daya Indonesia has managed around US$14 billion in export proceeds from three strategic commodities during its first 74 days of operation. The institution has monitored more than 6,500 export transactions as part of efforts to prevent under-invoicing and transfer-pricing practices.
Indonesia is also pursuing a major restructuring of its state-owned enterprises. The government has closed 290 unprofitable entities out of 1,074 state-owned enterprises and subsidiaries, with the ultimate objective of reducing the number to no more than 300 entities.
Following the consolidation, combined profits of state-owned enterprises increased by 75.3 percent, rising from Rp186 trillion in 2024 to Rp326 trillion in 2025.
Looking toward 2027, the government has outlined 10 strategic transformations designed to strengthen national competitiveness. These include renovating 10,000 community health centres, constructing and revitalizing 441 regional hospitals, upgrading school facilities nationwide, establishing a national mineral and commodity exchange, optimizing state-owned assets and developing 100 gigawatts of solar power capacity.
Other priorities include establishing the Indonesian International Finance Center, creating the Danantara Development Management Fund, expanding electrification of public transportation networks and implementing a dual-citizenship policy.
Limanseto said the government’s strategy was aimed at strengthening key economic sectors, improving national competitiveness and ensuring that economic growth becomes both higher and more inclusive.
