Back in April 2018, Indonesia\u2019s Ministry of Industry announced a hugely ambitious plan.\u00a0 \u201cMaking Indonesia 4.0\u201d was a roadmap to get the country to a very specific destination \u2013 to become one of the world\u2019s ten largest economies by 2030.\u00a0 And the way to achieve this?\u00a0 Strategic upgrades to five core industries (F&B, textile and garment, chemicals, electronics, automotive), through the application of advanced technologies including robotics, IoT and AI.\u00a0<\/p>\n\n\n\n
Three and a half years later, how are things looking?\u00a0 A bit behind where the architects of that plan would have hoped, no doubt, but then who could have factored in Covid-19 and its consequences for the global economy?<\/p>\n\n\n\n
Not so many years before, Indonesia had been one of the worst-hit countries during the 1997 Asian economic crisis, but 10 years of strong growth followed (more than 5.7% per year).\u00a0 Then, with its huge domestic market and relatively low exports\/GDP ratio, Indonesia suffered less during global financial crisis of 2008 than its neighbours Singapore, Malaysia and Thailand.\u00a0\u00a0 Covid was responsible for a 2.1% contraction during 2020, but this was less bad than experienced by Singapore (-5.4%) and Malaysia (-5.6%).\u00a0 \u00a0Indonesia saw record-soon, if indeed it hasn\u2019t already.\u00a0<\/p>\n\n\n\n
Amidst all of this turmoil, according to the latest figures (2020), Indonesia remains the world\u2019s 16th largest economy \u2013 the same position in the rankings as in 2018.\u00a0 Will she realise the dream of Making Indonesia 4.0 by 2030?<\/p>\n\n\n\n