Province

West Kalimantan

Overview Economy

West Kalimantan, province of the “city of the equator”

Located on the island of Borneo, West Kalimantan is the most populous province on the island with a population of 5.56 million people as of 2023. The majority of this population adheres to Islam at 60 percent, followed by Catholicism at 22.16 percent, Christianity at 11.58 percent, Buddhism at 5.85 percent, and Confucianism and Hinduism both at 0.26 percent.

Geographically, West Kalimantan is strategically adjacent to the Archipelago Sea Lines of Indonesia I (ALKI I), an international shipping route connecting South and West Asia. This proximity has provided the province with significant geographic leverage, enabling it to advance the interests of both the province and its citizens. The province’s capital city is Pontianak, known as the "city of the equator" due to its location on the imaginary line dividing the planet into its north and south hemispheres.

West Kalimantan is widely recognized for its biodiversity, encompassing various ecosystems ranging from mangrove swamps to tropical rainforests. These habitats support a variety of plants and animals, including endangered species such as pygmy elephants, proboscis monkeys, and orangutans. The province is also home to many protected sites, including the Gunung Palung National Park and the Danau Sentarum National Park. Additionally, West Kalimantan is known for its extensive peatlands, which play a crucial role in carbon sequestration and climate regulation.

Culturally, numerous indigenous groups, each with its distinct traditions, languages, and customs, live in the province. These groups include the Malay, Chinese, and Dayak groups. Notably, the province’s traditional longhouse or rumah panjang are iconic symbols of Dayak culture, which serve as communal homes for extended families.

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Economic development

West Kalimantan relies primarily on agriculture, with many locals relying on it for their means of subsistence. From 2021 onwards, the province’s GRDP has mainly been attributed to this sector, accounting for 23.94 percent in 2021, 23.28 percent in 2022, and 22.65 percent in 2023. The province is well-known for producing palm oil, rice, and rubber.

Following agriculture, the processing sector is the next significant contributor to West Kalimantan’s GRDP, accounting for 16.09 percent in 2021, 15.94 percent in 2022, and 15.65 percent in 2023, along with the trade sector at 13.64 percent in 2021, 14.60 percent in 2022, and 15.06 percent in 2023. Additionally, the mining and forestry sectors play significant roles in the region’s economy.

Exports also contribute to West Kalimantan’s economy. In 2023, key exported products included inorganic chemicals, fat and animal oil, and rubber, contributing 49.44 percent, 25.74 percent, and 7.89 percent of total exports, respectively. In January 2024, West Kalimantan’s main export destinations were India with a value of US$63.39 million, China with US$38.10 million, and Japan with US$14.12 million. Together, these three countries accounted for 70.89 percent of exported goods from the province.

Furthermore, West Kalimantan’s economy is supported by the Kapuas River, the longest river in Indonesia, stretching 1,143 kilometers from the heart of Kalimantan to the Karimata Strait, nearly the length of Java Island. The river serves as a crucial resource for local communities, supporting trade, industry, shipping, residences, and tourism.

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Latest News

April 17, 2025

PT Aneka Tambang Tbk (Antam) will collaborate with fellow PT Mineral Industri Indonesia (MIND ID) subsidiary PT Indonesia Asahan Aluminium (Inalum) to develop a smelter-grade aluminium refinery in Mempawah Regency, West Kalimantan Province as part of Antam's efforts to accelerate the realization of national strategic projects (PSNs) in mining sector downstreaming. The project is targeted to start operations in 2025 with an aluminium production capacity of 1 million tons per year.

The gold and nickel state-owned enterprise (SOE) is also active in the development of the Indonesian electric vehicle (EV) ecosystem, through the provision of EV battery raw materials such as nickel and bauxite. This strategy is in line with the Indonesian government's initiative to encourage energy transition and the development of value-added industries in the country.

"In addition to maintaining solid and sustainable operations. At the same time, Antam is also aggressively realizing PSNs that support downstreaming and energy transition," said Antam Finance and Risk Management Director Arianto S. Rudjito on Apr. 15, 2025.

Moreover, Antam is improving its precious metal processing and refining business line through the Precious Metal Manufacturing Plant project in Gresik Regency, East Java Province. The factory is targeted to increase Antam's production capacity to meet increasing demand and reach a wider market, especially in Eastern Indonesia.

"The development of this project is also part of Antam's contribution to the national added value policy (domestic added value), as well as supporting the increase in foreign exchange through the downstreaming of precious metal products," said Arianto.

For nickel commodities, Antam is developing a project to support the Indonesian government mandate in developing an EV ecosystem in Indonesia. Theproject is an important part of the company's roadmap for its commitment to energy transition.

"We are oriented not only towards production volume, but also on creating added value from the minerals we manage. Downstreaming is the key to a more sustainable and competitive future for the Indonesian mining industry," Arianto stated.

In addition, Antam acquired 30 percent of Hengshui Jiulong Metal Mesh Product Co., Ltd. subsidiary PT Jiu Long Metal Industry (JLMI)'s shares through Antam subsidiary PT Gag Nikel. Located in Weda District, Central Halmahera Regency, North Maluku Province, JLMI is a producer of nickel pig iron (NPI) with a capacity of 28,000 tons per year.

"The execution of these strategic projects confirms [Antam]'s commitment to become a key player in the transformation of the national mining industry, not only as a supplier of raw materials but as a catalyst for sustainable downstream-based industrial growth. Through strong synergy, continuous innovation, and long-term vision, Antam is optimistic that it will be able to create sustainable value for the nation, while strengthening Indonesia's position in the global industrial arena," concluded Arianto.

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