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Indonesia's Economy: The Next Economic Superpower?
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If you wanted to put Indonesia’s economy in context, comparing it to its neighbours is a good place to start. Malaysia and Thailand. Countries 8 and 4 times smaller than it. Indonesia doesn’t appear to be as interconnected with the world. It has fewer top global firms, less overseas investment holdings, considerably smaller high tech exports, fewer patents and not one university ranked in the top 800 in the world.
And again, remember. This is an economy which is tipped to be a world leader in less than a decade.
So when you think about a developing economy. More often than not a familiar development pattern emerges. One based on a transition from agriculture to manufacturing, a comparative advantage in cheap labour, slowly climbing up the value chains, which finally propels it nation into developed country status.
And a lot of these factors are relevant to Indonesia's economic journey. But there is a big exception here.
Indonesia’s heavy reliance on commodities as opposed to manufacturing. The nation is awash with natural resources on both land and sea. Being historically a member of OPEC, but a net importer of oil since 2003.
Luckily for Indonesia, the 2000s were the perfect time to cash in. The world has just been through a commodity supercycle.
--REFERENCES--
#Indonesia #IndonesiaEconomy #Jakarta
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📕Recommended Reading:
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And again, remember. This is an economy which is tipped to be a world leader in less than a decade.
So when you think about a developing economy. More often than not a familiar development pattern emerges. One based on a transition from agriculture to manufacturing, a comparative advantage in cheap labour, slowly climbing up the value chains, which finally propels it nation into developed country status.
And a lot of these factors are relevant to Indonesia's economic journey. But there is a big exception here.
Indonesia’s heavy reliance on commodities as opposed to manufacturing. The nation is awash with natural resources on both land and sea. Being historically a member of OPEC, but a net importer of oil since 2003.
Luckily for Indonesia, the 2000s were the perfect time to cash in. The world has just been through a commodity supercycle.
--REFERENCES--
#Indonesia #IndonesiaEconomy #Jakarta
▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀
Enjoyed the video?
Follow AltSimplified on Social media:
▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀▀
📕Recommended Reading:
Many have asked what we'd recommend to start reading, so check out the links below. They are affiliate links, but come at no extra cost to the viewer, you'd just be supporting the Channel if you used them.
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