Province

Bengkulu

Overview Economy

Bengkulu, land of Rafflesia Arnoldii

Situated on Sumatra's southwest coast, Bengkulu faces the Indian Ocean and is home to several different ethnic groups, including the Rejang, Serawai, and Pekal people. As of 2023, the province is home to a population of 2.1 million people, with the majority identifying as Muslims according to the 2021 Census.

Bengkulu is rich in natural beauty and landscapes. The Rafflesia Arnoldii flower, which bears the names of two British explorers, Thomas Stanford Raffles, and Dr. Joseph Arnold, is a well-known native of the province. With a bud diameter of one meter, the Rafflesia Arnoldii is one of the world's largest flowers, drawing travelers from all over the world to see its bloom in the tropical forests of Sumatra’s southern region, particularly Bengkulu.

Moreover, the province is home to Bukit Barisan Selatan National Park, a UNESCO World Heritage Site dedicated to protecting the area’s biodiversity. Additionally, Bengkulu is well known for its volcano Mount Kaba, and the popular Panjang Beach, boasting a coastline of 7 km, along with its deep jungles.

As a reminder of the colonial era, Bengkulu occupies a role in Indonesian history. The 18th-century British-built Fort Marlborough stands in the province, reflecting Bengkulu’s involvement in the past spice trade and power battles that took place in the area. Another aspect of Bengkulu's history is the Thomas Parr Monument, which honors a worker for the British East India Company.

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Economic landscape

Agriculture is the main engine of Bengkulu's economy, with key crops including coffee, palm oil, and rubber. The province is also well-known for its gold and coal mining sectors, which add to Indonesia's vast natural resources.

In 2023, the province’s economy generated a Gross Regional Domestic Product (GRDP) of Rp 53 trillion. The agriculture, forestry, and fishery sector led the GRDP with a contribution of Rp 13.9 trillion, followed by the wholesale and retail trade sector, including car and motorcycle repairs, which contributed Rp 8.1 trillion, and the government administration sector with Rp 4.5 trillion.

Notably, investment realization contributes to Bengkulu’s economic landscape. For instance, in the second quarter of 2023, the province saw an investment realization of Rp 4.7 trillion, attributed to investments managed by both large and micro, small, and medium-sized enterprises (MSMEs).

Furthermore, South Korean businesses have shown interest in investing in Bengkulu, particularly in shrimp farming and other potential seafood products due to high domestic demand. Apart from that, South Korean investors are also exploring other ventures in tourism, hotels, golf, and cosmetics. Besides South Korea, foreign investments in Bengkulu also mainly originate from Malaysia, Hong Kong, Japan, China, and Singapore.

To further develop economic centers in Bengkulu province, the central government plans to build a Special Economic Zone around the province’s Baai Island, aimed at bolstering industrial and fishery activities. Additionally, the development of Baai Island is meant to improve the connectivity between Bengkulu and other provinces in Sumatra. This initiative is complemented by the existence of the Fatmawati Soekarno Airport, which has been undergoing efforts to expand and renovate its facilities.

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Latest News

February 17, 2025

The Bengkulu Provincial Government is accelerating investment to the tourism and trade sectors to drive economic growth in the province for 2025.

"We also continue to strive to increase investment, both from within and outside the country, by creating a welcoming business climate and providing convenience for investors," said Acting Bengkulu Rosjonsyah Governor in Bengkulu City, Bengkulu on Feb. 5, 2025.

He added that the Bengkulu Provincial Government continues to encourage strategic sectors, namely agriculture, tourism, fisheries, as well as small and medium enterprise (SME) industries sectors, as the driving force of regional economic growth. The Bengkulu Provincial Government offers investments in fields like pond and marine fisheries as potential destinations. It also promotes the province's Enggano Island for its potential in fisheries and tourism investment destination.

The Bengkulu Provincial Government and Bank Indonesia is also curating potential investment destinations with the aim of providing a more detailed picture for prospective investors. Furthermore, Bengkulu continues to develop potential tourist destinations such as Panjang Beach and Dendam Tak Sudah Lake. ​​Those locations are expected to become new tourist destinations for the province.

Acting Bengkulu Governor Rosjonsyah also reminded all stakeholders to facilitate investors' entry as long as they comply with regulatory provisions and support the local community. He added that investors should be made to first have an interesting impression of Bengkulu to improve the chances of them investing in the province. Prospective investors, in Rosjonsyah's metaphor, should not be "pinched" firsthand as it would make them quickly decide against investing in Bengkulu.

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