Indonesia Government Analytics

Government stability and policy metrics

Government Debt

39.3%

Government debt as percentage of GDP

Corruption Index

34.0

Corruption perception index (higher is better)

Government Payrolls

No data

Number of government employees

Gold Reserves

79 t

National gold reserves in tonnes

Corruption Index

Corruption perception index (higher is better)

Gold Reserves

National gold reserves in tonnes

Additional Insights

Expert analysis of Indonesia Government trends and investment implications

Market Overview

Indonesia presents a mixed landscape for real estate investors. While fiscal stability is challenged by high debt-to-GDP ratios, the country's gold reserves offer some economic resilience. Corruption levels suggest potential risks in regulatory predictability, impacting property rights enforcement. Political and economic stability remains relatively favorable for long-term investment with strategic risk management.

Key Findings

Data-driven insights

•High debt-to-GDP ratios indicate potential future tax increases, impacting fiscal stability.
•Corruption Index at 34 signifies moderate corruption, raising concerns about effective property rights enforcement.
•Gold reserves of 78.57 tonnes provide a modest buffer against economic downturns.
•The government's large payroll could lead to a high tax burden, affecting investment returns.

Market Trends

Historical patterns

•Indonesia's debt-to-GDP ratio has shown a gradual increase, suggesting rising fiscal pressures.
•Political stability has improved over recent decades but still faces occasional volatility.
•Economic reforms have led to increased foreign investment interest, though regulatory predictability remains a concern.

For Investors

Actionable takeaways

•Consider hedging investments by diversifying into regions with lower corruption indices.
•Monitor fiscal policies closely for any signs of increased taxation that could affect profitability.
•Leverage gold reserves as a point of economic resilience, but remain cautious of broader economic vulnerabilities.
•Engage with local legal expertise to navigate regulatory complexities and protect property rights effectively.

Market Context

Indonesia's governance landscape is marked by a balance of opportunities and risks, with ongoing reforms aiming to attract foreign investment despite existing challenges in corruption and regulatory predictability. The real estate sector can benefit from strategic investments, provided investors are prepared for potential fiscal and political fluctuations.

💡 Insights based on historical data. Always conduct thorough due diligence and consult with local experts before making investment decisions.