Top Business Sectors in Indonesia: Where Investment Goes
The top business sectors in Indonesia by realised investment, from BKPM's own figures: metals processing, transport and telecoms, mining, services and estates.
References (7)
- Kementerian Investasi dan Hilirisasi/BKPM — investment realisation releases of 31 January 2025 (2024), 15 January 2026 (2025) and 17 July 2026 (first half of 2026). Realisation figures exclude upstream oil and gas and financial services
- Bank Indonesia — releases No. 28/28/DKom (5 February 2026) and No. 28/150/DKom (5 August 2026), economic growth
- PP No. 40 Tahun 2025 on National Energy Policy — in force 15 September 2025, revoking PP No. 79 Tahun 2014
- Perpres No. 79 Tahun 2023, amending Perpres No. 55 Tahun 2019 on battery electric vehicles — Article 8(1), local-content minimums
- Keppres No. 1 Tahun 2025 — the task force for accelerating downstreaming and national energy security
- Perpres No. 10 Tahun 2021 on investment business fields, as amended by Perpres No. 49 Tahun 2021
- Peraturan Menteri Investasi dan Hilirisasi/Kepala BKPM No. 5 Tahun 2025 — Article 284(4), the LKPM filed through the OSS system
The top business sectors in Indonesia, measured by where investment actually went, were led in 2025 by basic metals processing, transport and telecoms, and mining. That year, realised investment reached IDR 1,931.2 trillion, according to the investment ministry’s release of 15 January 2026.
These figures come from BKPM, the Ministry of Investment and Downstreaming, and are published in its full-year release. They cover investment actually made, not pledges.
How the top business sectors in Indonesia ranked in 2025
- Metals processing 262
- Transport and telecoms 211
- Mining 199.6
- Other services 170.5
- Industrial estates 140.4
BKPM, 15 January 2026. Excludes upstream oil and gas, and financial services.
In BKPM’s own terms, and as a share of all realised investment in 2025, the five are:
- Basic metals, metal goods (other than machinery) and equipment: 13.6%
- Transport, warehousing and telecommunications: 10.9%
- Mining: 10.3%
- Other services: 8.8%
- Housing, industrial estates and offices: 7.3%
In the first half of 2026 the same five led again. Other services rose from fourth place to second (BKPM, 17 July 2026).
Metals processing, downstreaming and mining
Downstreaming means processing minerals and other commodities in Indonesia rather than exporting them raw. It made up 30.2% of all investment in 2025, IDR 584.1 trillion, of which minerals accounted for IDR 373.1 trillion (BKPM, 15 January 2026).
Mining, third on the chart, is counted by BKPM as a sector of its own. The government set up a task force to accelerate downstreaming in January 2025 (Keppres No. 1 of 2025).
Transport, warehousing and telecoms
Second in 2025, at IDR 211.0 trillion. Indonesia’s economy grew 5.11% in 2025 and 5.29% year on year in the second quarter of 2026, according to Bank Indonesia.
Other services
BKPM’s category of other services was fourth in 2025, at IDR 170.5 trillion, and second in the first half of 2026.
Industrial estates, housing and offices
Fifth in 2025, at IDR 140.4 trillion.
Tourism and hospitality
Outside BKPM’s top five, tourism is worth a line: MAM also sets up companies for foreign investors in tourism.
Energy transition and electric vehicles
National energy policy, in PP No. 40 of 2025 (in force since 15 September 2025), sets a target of net zero emissions by 2060. The new and renewable share of primary energy supply is to reach 19–23% by 2030 and 70–72% by 2060.
For battery electric vehicles, the minimum share of local content rises in steps. From 2022 the minimums are the same for two- and three-wheelers and for four-wheelers and above (Perpres No. 79 of 2023, Article 8(1)).
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40% local content
The minimum for both vehicle classes.
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60% local content
Minimum for 2027 to 2029.
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80% local content
Minimum from 2030 onwards.
Rules and realised investment
Investment in the electric-vehicle battery ecosystem was IDR 8.4 trillion in 2024 (BKPM, 31 January 2025): a different year from the chart above, and small beside the 2025 sector totals. The rules point the way.
What this means for a foreign investor
A sector ranking does not say what you may own
Foreign ownership limits attach to named business activities, each listed with its KBLI code, not to a sector as a whole, so two businesses in the same sector can face different limits (Perpres No. 10 of 2021, as amended by Perpres No. 49 of 2021). Check the activity before choosing a structure; the page on the PT PMA, a foreign-owned limited liability company, covers the check.
The companies MAM sets up for foreign investors come from many industries: start-ups, import and export, factories and manufacturing, IT, trading and distribution, and consulting and professional services. A business that wants to test the market before incorporating can hire its first people through an employer of record. The main taxes a new company meets are summarised in the tax system in Indonesia. Once set up, a PT PMA reports its investment in the LKPM, filed through the OSS system, and the LKPM report explains what that report contains.