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Indonesia is an attractive place for investment and business. We will give a reason for business should be in Indonesia. There are 7 reason as follow:
- Large Population. Indonesia is literally a giant. Its market alone exceeds some 230 million people, making it the fourth largest country in the world in terms of its population after China, India, and the United States. Business should cater the needs of 65 million households. About 138 million or about 60 percent live on the island of Java, the most densely populated island in the country. Those numbers also translate into a vibrant labor force of skilled and educated workers.
- A vast and fertile land rich in natural resources. The second reason why Indonesia is a perfect place for business is its vast and fertile land that enriches its natural resorces. Ranked as the 16th largest country in the world, Indonesia, with its tropical climate and humidity, is rich in natural resources. Indonesia’s crude palm oil is ranked as the best in the world, while its tin, cocoa and copper occupy the 2nd position. Other natural resources such as nickel, gold and coopper are ranked 5th, 7th and 8th,respectively, as well as numerous marine resources.
- Large numbers of Small and Medium Enterprises. With the abundance of its natural resources and the quality of its fertile land at hand, the business people in Indonesia have remarkably utilized those advantages by establishing small and medium enterprises within various sectors. The staggering number of 42 million people, of which mostly are dominated by local private business entrepreneurs, have built their small and medium enterprises while managing to make millions of profit. This fact shows that the economy in Indonesia is not solely run by giant business companies, but also by simple local businessmen who have started with few pennies and turned them into businesses worth thousands of dollars.
- Strategic location, vital international transport routes. Indonesia is located between 2 continents (Asia and Australia) and 2 oceans (Pacific and Indian) which puts it in a strategic location for international transport routes. One of the most important transport routes vital for international transport and used by international shipping for business purposes is the Malacca strait. Malacca strait lies between Malaysia and Indonesia (Sumatera island). Many ships navigagte through the Malacca strait en route to Australia and other Asia countries.
- Open and liberal market economy. The Free Trade Area regulation will be applied within six years in the ASEAN region which will also include Indonesia. The Free Trade Area will usher in the market economy in Indonesia with its open and liberal policies. Every sector in Indonesia is open for investment. With the simplification of rules and regulations, Indonesia’s market economy will be openly accessible for foreign investors.
- Free foreign currency exchange system. In the case of business profits in particular, a foreign investor will be able to transfer the profit of his business in Indonesia straight to his homeland and convert into the currency of his homeland without any involvement by the central government. This is one of the advantages for foreign investors as there will be no complicated procedures in receiving their profits in the currency of their country. With respect to the foreign exchange systems, the central government of Indonesia does not restrict investments with regulations with the view to ease the process.
If you intend to open a business in Indonesia. We are willing to help you. Starting from start up to scale up. @BiizaaGlobalBusiness.