Palangkaraya

Palangka Raya –  Central Kalimantan's emerging urban jewel

Palangka Raya, the capital city of Central Kalimantan, Indonesia, is a significant urban center known for its unique geography, social dynamics, and growing economic potential. Situated on the banks of the Kahayan River, Palangka Raya is characterized by vast expanses of tropical rainforest and peatlands, contributing to its rich biodiversity. The city spans approximately 2,678.51 square kilometers, making it one of the largest cities by area in Indonesia, although much of it remains covered by dense forest.

The city is home to various ethnic groups, predominantly Dayak, Banjar, and Javanese, contributing to a diverse cultural landscape. The city's population is around 290,000, with a vibrant community life centered around traditional festivals, markets, and local customs. Education and healthcare services are improving, supported by both government initiatives and private investments.

Economically, Palangka Raya is emerging as a focal point for investment in Central Kalimantan. The city's Gross Regional Domestic Product (GRDP) is driven by sectors such as agriculture, forestry, and mining. Agriculture, particularly palm oil and rubber plantations, plays a pivotal role, contributing significantly to the GRDP. The forestry sector, with its timber and non-timber forest products, also adds considerable value to the economy.

Moreover, Palangka Raya is witnessing a surge in infrastructure development, with new roads, bridges, and public facilities being constructed to support economic growth. The city is positioning itself as a future hub for sustainable development, attracting investors interested in green projects and eco-tourism. The presence of natural resources, combined with government incentives, makes Palangka Raya an attractive destination for both domestic and international investors.

In 2023, Palangka Raya's GRDP reached Rp 24.18 trillion at current prices, marking an increase of Rp 2.22 trillion compared to 2022, when it was Rp 21.95 trillion. Adjusted for 2010 constant market prices, the GRDP rose from Rp 11.72 trillion in 2022 to Rp 12.49 trillion in 2023, reflecting an economic growth rate of 6.57 percent.

Over the last five years (2019-2023), Palangka Raya's economic structure has been dominated by five categories of business fields: Administration, Defense and Compulsory Social Security; Wholesale and Retail, Repair of Cars and Motorcycles; Construction; Transportation and Warehousing; and Manufacturing Industry.